Question: I need help with the following attachment. It includes target costs, markup and variable costs... please help. Par! 2 Communications Unlimited proVides support serVices to

I need help with the following attachment. It includes target costs, markup and variable costs... please help.

I need help with the following attachment. It includes target costs, markup

Par! 2 Communications Unlimited proVides support serVices to its clients. This company expects to earn an annual return on the assets invested at a rate of; 20% The company has the followmg amount invested in the business: $0,000,000 The annual budgeted costs for next year are: Variable costs Fixed costs Support Sewices $000,000 1,900,000 The annual budgeted hours for next year are: Consulting services 60,000 hours Required: You must use cell references for all calculations. 1. Determine the Target profit for the company. 2. Determine the markup on variable costs in percentage terms. 3. Determine the variable cost per hour. 4. Determine the revenue per hour that Will be charged rfvariable costs is the basis for markup. 5. Determine the markup on total costs in percentage terms. 6. Determine the total cost per hour. 7. Determine the revenue per hour that Will be charged rftotal costs is the basis for markup. 8. Explain why answers 24 in comparison to 5-? are the same or different

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!