The markup percentage denominator in the variable cost-plus approach is the
A)desired ROI per unit.
B)fixed costs per unit.
C)manufacturing cost per unit.
D)variable costs per unit.

Question

Quizplus · Accepted Answer

The markup percentage denominator in the variable cost-plus approach is the variable costs per unit. This method adds a markup percentage to the variable cost of each unit to determine the selling price. It does not consider fixed costs or desired ROI per unit in the calculation.

The Markup Percentage Denominator in the Variable Cost-Plus Approach Is