Kirsch, Inc

question 12

Multiple Choice

Kirsch, Inc., manufactures a product with the following costs: The company uses the absorption costing approach to cost-plus pricing described in the text. The pricing calculations are based on budgeted production and sales of 41,000 units per year. The company has invested $540,000 in this product and expects a return on investment of 13%.
The selling price based on the absorption costing approach would be closest to:

• A)$95.43
• B)$72.31
• C)$41.50
• D)$70.60

---

Definitions:

Data Packets

Units of data made into a single package that travels along network paths to its destination.

Access Point

A hardware device that allows wireless devices to connect to a wired network using Wi-Fi, Bluetooth, or similar standards.

Adapter

A hardware or software component that allows one device or application to connect with and work with another, despite differences in format or standards.

MAN

An acronym for Metropolitan Area Network, a network that spans a physical area larger than a LAN but smaller than a WAN, typically used to connect multiple buildings within the same city.