snowboard requires direct materials of $102, direct labor of $32, variable overhead of $47, and variable selling, general, and administrative costs of $5. The company has fixed overhead costs of $639,000 and fixed selling, general, and administrative costs of $126,000. It expects to produce and sell 10,200 snowboards. What is the selling price per unit if Garcia uses a markup of 10% of total cost? (Do not round your intermediate calculations. Round your final answer to nearest whole

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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QS 23 - 16 (Algo) Pricing using total cost LO P6 Garcia Company sells snowboards. Each
snowboard requires direct materials of $102, direct labor of $32, variable overhead of $47, and
variable selling, general, and administrative costs of $5. The company has fixed overhead costs of
$639,000 and fixed selling, general, and administrative costs of $126,000. It expects to produce
and sell 10, 200 snowboards. What is the selling price per unit if Garcia uses a markup of 10% of
total cost? (Do not round your intermediate calculations. Round your final answer to nearest whole
dollar amounts.)
Transcribed Image Text:QS 23 - 16 (Algo) Pricing using total cost LO P6 Garcia Company sells snowboards. Each snowboard requires direct materials of $102, direct labor of $32, variable overhead of $47, and variable selling, general, and administrative costs of $5. The company has fixed overhead costs of $639,000 and fixed selling, general, and administrative costs of $126,000. It expects to produce and sell 10, 200 snowboards. What is the selling price per unit if Garcia uses a markup of 10% of total cost? (Do not round your intermediate calculations. Round your final answer to nearest whole dollar amounts.)
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