Muy Bueno Bakery sells its special chocolate cake for $37. The total cost to produce the cake is $25. Of this amount, $5 per unit is selling costs. The total variable cost is $15. The desired profit is $12 per unit. Determine the markup percentage on product cost. a.52% b.60% c.32% d.85%

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Muy Bueno Bakery sells its special chocolate cake for $37. The total cost to produce the cake is $25. Of this amount, $5 per unit is selling costs. The total variable cost is $15. The desired profit is $12 per unit. Determine the markup percentage on product cost.
a.52%
b.60%
c.32%
d.85% 
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