Answered: The product costs the company $66 to…

The product costs the company $66 to manufacture. The company desires a 97% mark-up on all products. State the product's selling price to the nearest dollar.

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 12EA: Markson and Sons leases a copy machine with terms that include a fixed fee each month of $500 plus a...

See similar textbooks

Related questions

Q: A store received two trade discounts of 15% and 10% on the list price of $2000 for an item and…

A: Break Even: The point at which cost and income are equal and there is neither profit nor loss.

Q: As shown below, a shop purchases and sells a certain type of product. Purchasing price : $10 per…

A: Break even point (BEP): Breakeven is the point where total expenses are equal to total revenue. at…

Q: The retailer price of a refrigiretor is £807. If the manufacturer gains 11%, the wholesale dealer…

A: let cost of product = C manufacturer's gain = 11% selling price of manufacturer = C x 1.11…

Q: 1. After determining the total product cost of P100.00 per unit, Mr. Abecee the owner, decided to…

A: The question is based on the concept of Cost Accounting. Retail price is calculated by adding the…

Q: XYZ Company sells a product for $250. The variable cost is $150 per unit. The fixed costs are…

A: The cost volume profit analysis is helpful to analyze the number of units required to be sold to…

Q: the product which represent £143,400. Total fixed costs equal £66,920 and total contribution equals…

A: The question is related to Marginal Costing and Cost Volume Profit Analysis. The income statement as…

Q: Blossom Company sells product 2005WSC for $90 per unit. The cost of one unit of 2005WSC is $87, and…

A: Cost should be reported, lower of, cost, replacement cost or net realizable value.

Q: Carryon Company sells a product and a 12-month service package for that for a combined price of…

A: Combined price = $730 Standalone service package price = $800 Total Standalone price = $300 + $800 =…

Q: Carryon Company sells a product and a 12-month service package for that for a combined price of…

A: Calculate the allocated price to product.

Q: San De Marco Company has a very unique product with no real competitors, therefore they use cost…

A: Cost plus pricing is a method of setting selling price where, selling price is set by adding a…

Q: Oriole Company sells 455 units for $290 each to Sheffield Inc. for cash. Oriole allows Sheffield to…

A: The refund liability is the amount of consideration that the reporting entity does not expect to be…

Q: Julia's Motorcycles Inc. produces one model of motorcycle, called the Lightning. The Lightning has…

A: MSRP is the retail price suggested by the manufacturer to the retailer for the product. It is not…

Q: A product is currently reported on the balance sheet at a cost of $29. The selling price of the…

A: Net realizable value = sales price - cost to sell

Q: Sunland Company has received a shipment of suits that cost $320 each. If the company uses cost-plus…

A: Selling Price = Cost + Markup (%)

Q: Sharma Kennels buys some items with a list price of $4,100. The supplier extends a 40% trade…

A: The net price is the value at which, after all taxes and other expenses are applied and all…

Q: Leo Consulting enters into a contract with Highgate University to restructure Highgate’s processes…

A: The transaction price that Leo will estimate for this contract is $30,000.

Q: Nicolas Appliance Center has purchased electric fans for Php 800 each The electric fans are marked…

A: The markup is the difference between the selling price and cost price of a product. Markup…

Q: A company that sells radios has yearly fixed costs of $600,000. It costs the company $45 to produce…

A: Given: To calculate the interpret of the given functions as,

Q: che $ cost per unit for the items purchased from THE SUPPLIER is

A: The cost function is a function that is used to show how production expense will change at different…

Q: Tambi Corporation produce its product which requires an input for $72,30 per kilogram from the…

A: >Standard costs are set by the management to have a control on actual costs to be considered.…

Q: Mr. Assad a Wholesaler buys a product from the Al Mazoon manufacturing company at RO 700 and pays…

A: NOTE : As per BARTLEBY guidelines, when multiple sub parts are given then first three sub parts are…

Q: The O'Neill Shoe Manufacturing Company will produce a special-style shoe if the order size is large…

A: Total cost of production is nothing but the sum of total variable cost and total fixed cost incurred…

Q: A company produces wooden tables. The company has fixed costs of $1600, and it costs an additional…

A: Cost volume profit analysis is the technique used by management for decision-making. The methods…

Q: Company A calculates the cost per unit of its product at $ 28 (with $ 18 variable cost & $ 10 fixed…

A: Increase (decrease) in net profit = (Selling price per unit - relevant cost per unit) x No. of units…

Q: 19) Hopner Products enters into a contract with Tulles to sell three different products. The total…

A: The allocated transaction price of products as per the adjusted market assessment approach is the…

Q: Leo Consulting enters into a contract with Highgate University to restructure Highgate’s processes…

A: Transaction price is the amount which we are going to record (recognize) for the revenue.I tis the…

Q: Ross has received a special order for 10,000 units of its product at a special price of $15. The…

A: Contribution margin income statement: It is a kind of income statement which reports the sales,…

Q: KLM Company produces a single product. The selling price is OMR 40 a unit and the variable costs is…

A: The sales revenue for the target profit is calculated using the below given formula:

Q: Diversity Ltd. produces and sells a product called Star. The company is currently selling 9,560…

A: The question is related to Marginal Costing and Cost Volume Profit Analysis. The income statement as…

Q: ou can buy a product from one of three companies. Company A for $3,200 with a trade discount of 30%,…

A: This is a case of successive discounts. Successive discounts are discounts on discounts.

Q: Adiwele Ltd has a financial year end of 31 March. The entity manufactures Compact Discs for resale.…

A: Inventory is the stock of raw materials or finished goods held with a firm at a point of time. It…

Q: a) Kwik supermart has ordered the following supplies over the last year from various suppliers:…

A: Solution:- Average price charged by the new supplier will be the 11% less than the average of the…

Q: Question: What is the Breakeven Quantity for this Make / Buy Decision?

A: The break-even quantity is that quantity at which firm total revenue is equal to the total cost. It…

Q: A manufacturer sells his final product for R 100 plus VAT @ 15 % to a Wholesaler. The Wholesaler…

A: Lets understand the basics.When we have a manufacturer final price to wholesaler and mark up is…

Question

The product costs the company $66 to manufacture. The company desires a 97% mark-up on all products. State the product's selling price to the nearest dollar.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Explanation of the concept of Markup

VIEW

Step 2: Calculation of Selling Price

VIEW

Solution

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

A retailer buys a product from a supplier for $40. The retailer needs a 30% markup on cost to cover operating expenses. If the product is sold for $48, what is the outcome?
1. A product is listed for wholesale at $100. It's sold to a supplier with a 20% mark-up, and then resold to a customer with an additional 50% mark-up. How much has the item been marked up from the wholesale cost?
A dining set costs a company $2,300 to manufacture. If it sells for $5,175, what is the percent markup based on cost?
Spectrum Corp. makes two products: C and D. The following data have been summarized: (Click the icon to view the data.) Spectrum Corp. desires a 25% target gross profit after covering all product costs. Considering the total product costs assigned to the Products C and D, what would Spectrum have to charge the customer to achieve that gross profit? Round to two decimal places. Begin by selecting the formula to compute the amount that the company should charge for each product. Required sales price per unit Data table Direct materials cost per unit Direct labor cost per unit Indirect manufacturing cost per unit Total costs assigned Print $ $ Product C 600.00 $ 300.00 270.00 1,170.00 S Done - X Product D 2,400.00 200.00 604.00 3,204.00
A manufacturer sells his final product for R 100 plus VAT @ 15 % to a Wholesaler. The Wholesaler sells the product at a mark-up of 50 % above cost to the manufacturer. If the retailer s mark up on cost is 25 %, the final consumer will pay ----------- (Including VAT).A. R 215.63B. R 187.50C. R243.68D. R171.00
Urmilaben
What is the selling price to the consumer?
Markson and Sons leases a copy machine with terms that include a fixed fee each month of $500 plus a charge for each copy made. The company uses the high-low method to analyze costs. If Markson paid $360 for 5,000 copies and $280 for 3,000 copies, how much would Markson pay if it made 7,500 copies?
Many different businesses employ markup on cost to arrive at a price. For each of the following situations, explain what the markup covers and why it is the amount that it is. a. Department stores have a markup of 100 percent of purchase cost. b. Jewelry stores charge anywhere from 100 percent to 300 percent of the cost of the jewelry. (The 300 percent markup is referred to as keystone.) c. Johnson Construction Company charges 12 percent on direct materials, direct labor, and subcontracting costs. d. Hamilton Auto Repair charges customers for direct materials and direct labor. Customers are charged 45 per direct labor hour worked on their job; however, the employees actually cost Hamilton 15 per hour.
Please help me with show all calculation thanku
Please do not give image format
Blossom Company sells 320 units of its products for $20 each to Wildhorse inc. for cash. Blossom allows Wildhorse to return any unused product within 30 days and receive a full refund. The cost of each product is $11. To determine the transaction price, Blossom decides that the approach that is most predictive of the amount of consideration to which it will be entitled is the probability weighted amount. Using the probability-weighted amount. Blossom estimates that (1) 7 products will be returned, and (2) the returned products are expected to be resold at a profit. Prepare the journal entries for Blossom at the time of the sale to Wildhorse including any expected returns. The company follows IFRS. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter "0" for the amounts. List all debit entries before credit entries.) Account Titles and Explanation Cash (To record…