Question: Nancy's firm has budgeted sales of $300,000 with the following budgeted costs:
|
Direct materials
|
$60,000
|
|
Direct manufacturing labor
|
40,000
|
|
Factory overhead
|
|
|
Variable
|
30,000
|
|
Fixed
|
50,000
|
|
Selling and administrative expenses
|
|
|
Variable
|
20,000
|
|
Fixed
|
30,000
|
QA: Calculate the average markup percentage (%) for setting prices as a percentage (%) of the full cost of the product
QB: Calculate the average markup percentage for setting prices as a percentage of the variable cost of the product
QC: Calculate average markup percentage for setting prices as a percentage (%) of the variable manufacturing costs