Question - Bugnugget's Crawfish Emporium specializes in the manufacturing and sales of specialty mudbug novelties and nibbles. Bugnugget has budgeted sales of $1,250,000 for 2XX9.
Bugnugget also has the following budgeted costs for 2XX9:
Direct Materials, $25,000
Direct Manufacturing Labor, $215,654
Variable Factory Overhead, $397,500
Fixed Factory Overhead, $150,000
Variable Selling & Administrative Expenses, $175,000
Fixed Selling & Administrative Expenses, $105,000
Compute the average markup percentage for setting prices as a percentage of the variable cost of the product.