(Appendix 12A)The Following Information Is Available on Bruder Inc The Company Uses the Absorption Costing Approach to Cost-Plus Pricing

question 7

Multiple Choice

(Appendix 12A) The following information is available on Bruder Inc.'s Product A:

$\begin{array}{lr}\text { Number of Units Sold Each Year } & 10,000 \\\text { Selling Price per Unit } & \$ 80 \\\text { Unit Product Cost } & \$ 50 \\\text { Investment in Product A } & \$ 400,000 \\\text { Required Return on Investment } & 15 \%\end{array}$

The company uses the absorption costing approach to cost-plus pricing.Based on these data,what are the total selling,general,and administrative expenses each year?

• A) $140,000.
• B) $200,000.
• C) $240,000.
• D) $300,000.

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Definitions:

Rhomboideus Group

A collection of muscles in the upper back that connect the spine to the scapula, important for shoulder blade movement.

Trapezius Group

A major muscle group in the upper back and neck that supports arm and shoulder movements and extends the neck.

Acromiotrapezius

A muscle in some mammals that extends from the neck and back to the scapula, aiding in movements of the shoulder.

Clavotrapezius

Clavotrapezius, in certain animals like rodents, is a muscle that extends from the clavicle to the scapula, facilitating movement of the scapula and contributing to the posture of the upper body.