Answer the Following Questions Using the Information Below

question 19

Multiple Choice

Answer the following questions using the information below:
Caruso Cool manufactures single room sized air conditioners. The cost accounting system estimates manufacturing costs to be $190 per air conditioner, consisting of 75% variable costs and 25% fixed costs. The company has surplus capacity available. It is Caruso Cool's policy to add a 30% markup to full costs.
-Caruso is invited to bid on a one-time-only special order to supply 50 air conditioners. What is the lowest price Caruso should bid on this special order?

• A)$9,500
• B)$7,125
• C)$12,500
• D)$12,350

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Definitions:

Efferent Fibers

Nerve fibers that carry impulses away from the central nervous system to effectors such as muscles or glands, facilitating response and action.

Root Ganglion

A cluster of nerve cell bodies found in the dorsal root of a spinal nerve.

Ventral Rami

Ventral rami refer to the branches of spinal nerves that emerge from the anterior portion of the spinal cord, responsible for innervating the anterior and lateral parts of the trunk and limbs.

Plexus

A network of nerves or vessels in the body.