Magpie Corporation Uses the Total Cost Concept of Product Pricing

question 139

Multiple Choice

Magpie Corporation uses the total cost concept of product pricing. Below is cost information for the production and sale of 60,000 units of its sole product. Magpie desires a profit equal to a 25% rate of return on invested assets of $700,000. The dollar amount of desired profit from the production and sale of the company's product is

• A) $175,000
• B) $67,200
• C) $73,500
• D) $96,000

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Definitions:

Drug Therapy

The use of pharmaceutical drugs to treat or manage symptoms of various medical conditions or diseases.

Therapeutic Alliance

The collaborative bond and relationship between a therapist and client, seen as crucial for effective therapy and client progress.

Psychodynamic Therapies

Treatments that stress the importance of the unconscious mind, extensive interpretation by the therapist, and the role of early childhood experiences in the development of an individual’s problems.

Unconscious Mind

A part of the mind that influences thoughts and actions without one's awareness, according to Freudian psychology.