Exercise 25-11 Product pricing using total costs LO P6Steeze Co. makes snowboards and uses the total cost approach in setting product prices. Its costs for producing 12,500 units follow.The company targets a profit of $295,000 on this product.Variable Costs per Unit$ 103Fixed CostsDirect materialsOverhead$473,000Direct labor28Selling112,000340,000Overhead23AdministrativeSelling81. Compute the total cost per unit.2. Compute the markup percentage on total cost. (Round your final percentage answer to 1 decimal place.)3. Compute the product's selling price using the total cost method. (Round your intermediate calculations and final answer to thenearest whole dollar amount.)1.Total cost per unit2.Markup percentage%3. Selling price

Name: Exercise 25-11 Product pricing using total costs LO P6Steeze Co. make
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Description: Exercise 25-11 Product pricing using total costs LO P6Steeze Co. makes snowboards and uses the total cost approach in setting product prices. Its costs for producing 12,500 units follow.The company targets a profit of $295,000 on this product.Variab

Total cost per unit is calculated by dividing summing all the variable and fixed cost incurred in…

Business

Accounting

Steeze Co. makes snowboards and uses the total cost approach in setting product prices. Its costs for producing 12,500 units follow. The company targets a profit of $295,000 on this product. Variable Costs per Unit Direct materials Fixed Costs $ 103 $473,000 112,000 340,000 Overhead Selling Administrative Direct labor 28 Overhead Selling 23 1. Compute the total cost per unit. 2. Compute the markup percentage on total cost. (Round your final percentage answer to 1 decimal place.) 3. Compute the product's selling price using the total cost method. (Round your intermediate calculations and final answer to the nearest whole dollar amount.)

Steeze Co. makes snowboards and uses the total cost approach in setting product prices. Its costs for producing 12,500 units follow. The company targets a profit of $295,000 on this product. Variable Costs per Unit Direct materials Fixed Costs $ 103 $473,000 112,000 340,000 Overhead Selling Administrative Direct labor 28 Overhead Selling 23 1. Compute the total cost per unit. 2. Compute the markup percentage on total cost. (Round your final percentage answer to 1 decimal place.) 3. Compute the product's selling price using the total cost method. (Round your intermediate calculations and final answer to the nearest whole dollar amount.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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