The Sierra Company produces its product at a total cost of $89 per unit. Of this amount, $14 per unit is selling and administrative costs. The total variable cost is $58 per unit and t he desired profit is $28 per unit.
Determine the markup percentage using the:
(a) total cost
(b) product cost
(c) variable cost concept.

Question

The Sierra Company produces its product at a total cost of $89 per unit. Of this amount, $14 per unit is selling and administrative costs. The total variable cost is $58 per unit and t he desired profit is $28 per unit. 
Determine the markup percentage using the:
(a) total cost
(b) product cost
(c) variable cost concept.

Quizplus · Accepted Answer

The Answer of The Sierra Company produces its product at a total cost of $89 per unit. Of this amount, $14 per unit is selling and administrative costs. The total variable cost is $58 per unit and t he desired profit is $28 per unit. 
Determine the markup percentage using the:
(a) total cost
(b) product cost
(c) variable cost concept.

The Sierra Company Produces Its Product at a Total Cost