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Using the Variable Cost Concept Determine the Mark-Up Per Unit

question 58

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Using the variable cost concept determine the mark-up per unit for 30,000 units using the following data: Variable cost per unit $15.00, total fixed costs $90,000 and desired profit $150,000.


Definitions:

Cork Cells

Waterproof cells forming the outer protective layer of the bark in trees and other plants, composed of dead cells at maturity.

Vascular Bundle

A strand of tissue in plants that contains both xylem and phloem, responsible for the transport of water, minerals, and nutrients.

Cork Cambium

A layer of tissue in plants that produces cork, a protective barrier for the surface of stems and roots.

Ground Tissue

The bulk of most plant tissues, filling the space between the epidermis and vascular tissue systems, involved in photosynthesis, storage, and support.

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