Travers Company Sets Prices Equal to Cost Plus 55

question 93

Multiple Choice

Travers Company sets prices equal to cost plus 55%.Recently,Travers charged a customer a price of $60 for an item.What was the cost of the item to Travers?

• A)$25.20
• B)$38.71
• C)$40.32
• D)$42.00

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Definitions:

Government Mandated

Requirements or actions imposed by a government body that organizations or citizens must follow.

Voluntary Nonexchange Transactions

Transactions where an entity voluntarily gives or receives value without directly receiving or giving equal value in exchange.

Fund

A pool of money set aside for a specific purpose or managed to generate financial returns.

Property Taxes

Taxes charged by local governments on real estate and sometimes personal property, based on the assessed value of the property.