Question: How do I find the markup percentage using absorption-cost pricing? Schopp Corporation makes a mechanical stuffed alligator that sings the Martian national anthem. The following
How do I find the markup percentage using absorption-cost pricing?



Schopp Corporation makes a mechanical stuffed alligator that sings the Martian national anthem. The following information is available for Schopp Corporation's anticipated annual volume of 515,000 units. Per Unit Total Direct materials $ 6 Direct labor $10 Variable manufacturing overhead $17 Fixed manufacturing overhead $2,575,000 Variable selling and administrative expenses $19 Fixed selling and administrative expenses $1,545,000 The company has a desired ROI of 25%. It has invested assets of $30,900,000. Your answer is correct. Compute the total cost per unit. Total cost $ 60 per unit eTextbook and Media Attempts: 1 of 5 used (b) Your answer is correct. Compute the desired ROI per unit. ROI $ 15 per unit e Textbook and Media(c) * Your answer is incorrect. Using absorption-cost pricing, compute the markup percentage. (Round answer to 2 decimal places, e.g. 10.50%.) Absorption-cost pricing markup percentage 39.47 %
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
