If the Target Profit Is $60,000 for a Volume of 480

question 76

Multiple Choice

If the target profit is $60,000 for a volume of 480 units, fixed costs are $168,000, and the variable cost per unit is $450, then the markup percentage on variable cost would be:

• A) 104.56%.
• B) 105.56%.
• C) 106.00%.
• D) 106.45%.
• E) none of the other answers are correct.

Analyze the components of a mission statement and its strategic role within a company.

Distinguish between parallel construction and non-parallel construction goals and their clarity in communication.

Understand the significance of an executive summary in marketing plans and its role in "selling" the plan.

Identify and evaluate target market segments for business initiatives.

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Definitions:

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenue.

Financing Activities

Activities that result in changes in the size and composition of the equity capital or borrowings of a company.

Long-Term Debt

A financial obligation that is due for repayment in more than one year's time.

Ten-Year Treasury Note

A government debt security issued by the U.S. Treasury with a ten-year maturity, which pays interest to the holder every six months.