Answer the Following Questions Using the Information Below

question 107

Multiple Choice

Answer the following questions using the information below:
Black Forrest manufactures rustic furniture. The cost accounting system estimates manufacturing costs to be $180 per table, consisting of 80% variable costs and 20% fixed costs. The company has surplus capacity available. It is Back Forrest's policy to add a 50% markup to full costs.
-A large hotel chain is currently expanding and has decided to decorate all new hotels using the rustic style.Black Forrest Incorporated is invited to submit a bid to the hotel chain.What is the lowest price per unit Black Forrest should bid on this long-term order?

• A) $126
• B) $144
• C) $180
• D) $270

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Internet Daily

The regular usage of the internet on a daily basis for various activities such as communication, work, education, and entertainment.

Adults

Individuals who have reached a specific age or maturity level, typically recognized as having attained the full growth and development of their physical, mental, and emotional capacities.

Worldwide

All-encompassing or global in scope or application.

Anterior Cingulate Cortex

A part of the brain involved in emotion formation and processing, learning, and memory.