Sarker manufacturing company produces and sells 40,000 units of a single product. Variable costs total $80,000 and fixed costs total $120,000. If each unit is sold for $8, what markup percentage is the company using? A. 60.0% B. 160% C. 75% D. 133%
Sarker manufacturing company produces and sells 40,000 units of a single product. Variable costs total $80,000 and fixed costs total $120,000. If each unit is sold for $8, what markup percentage is the company using? A. 60.0% B. 160% C. 75% D. 133%
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter3: Cost Behavior
Section: Chapter Questions
Problem 26E: Starling Co. manufactures one product with a selling price of 18 and variable cost of 12. Starlings...
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
Transcribed Image Text:Sarker manufacturing company produces
and sells 40,000 units of a single product.
Variable costs total $80,000 and fixed costs
total $120,000. If each unit is sold for $8,
what markup percentage is the company
using?
A. 60.0%
B. 160%
C. 75%
D. 133%
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