Magpie Corporation Uses the Total Cost Concept of Product Pricing

question 44

Multiple Choice

Magpie Corporation uses the total cost concept of product pricing. Below is cost information for the production and sale of 60,000 units of its sole product. Magpie desires a profit equal to a 25% rate of return on invested assets of $700,000. The cost per unit for the production and sale of the company's product is:

• A) $12.11
• B) $12.88
• C) $15
• D) $13.50

Understand the concept of conflict of interest and its implications in business decisions.

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Definitions:

Clustering

A method of grouping a set of objects in such a way that objects in the same group are more similar to each other than to those in other groups.

Brainstorming

A method of generating ideas through spontaneous and free-flowing group discussion.

Styles

Predefined formats for text and documents that maintain consistency and enhance visual appeal.

Consistency

Consistency refers to the adherence to the same principles, course, form, etc., over a period of time, ensuring uniformity.