A Company Expects to Produce and Sell a Single Product

question 41

Essay

A company expects to produce and sell a single product.Management desires a 13% return on assets of $2,100,000.The following additional company information is available:
$\begin{array}{lr}\text { Variable costs (per unit) } & \\\text { Production costs } & \$ 62 \\\text { Nonproduction costs } & \$ 8 \\\text { Fixed costs (in total) } & \\\text { Overhead } & \$ 521,280 \\\text { Nonproduction } & \$ 397,824\end{array}$

Required:
Compute selling price per unit given that markup percentage equals desired profit divided by total costs under the following independent assumptions:
a.The company produced and sold 19,200 units
b.The company produced and sold 114,888 units

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Definitions:

Periodic Table

A tabular arrangement of chemical elements organized by their atomic number, electron configuration, and recurring chemical properties.

Referents

The objects or things in the real world that words or phrases refer to or denote.

Differentia

The characteristic that distinguishes a particular species from other members of the same genus in taxonomy, or more generally, the distinguishing feature of something.

Too Broad

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