Moua Corp. has the following costs based on 20,000 units for the upcoming year. Moua is considering
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Question:
- Moua Corp. has the following costs based on 20,000 units for the upcoming year. Moua is considering a number of different methods to determine the price of its product.
Total Costs | ||||
Variable Manufacturing | $ | 2,350,000 | ||
Batch-level Fixed Overhead | 200,000 | |||
Plant-level Fixed Overhead | 1,200,000 | |||
Variable Selling and Administrative | 750,000 | |||
Fixed Selling and Administrative | 600,000 | |||
Total Investment in Product Line | 10,000,000 | |||
- Calculate the price per unit using a 30% markup of full cost.
- Calculate the price per unit using a 15% return on assets.
Related Book For
Managerial accounting
ISBN: 978-0471467854
1st edition
Authors: ramji balakrishnan, k. s i varamakrishnan, Geoffrey b. sprin
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