Fantasy Transport Company has average invested capital of $800,000 and a target return on investment of 15%. The total cost per unit is $20 based on a volume level of 25,000 units. Fantasy's markup percentage on total cost is:
A) 9.375%.
B) 24.0%.
C) 47.5%.
D) 62.5%.
E) None of the answers is correct.

Question

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The Answer of Fantasy Transport Company has average invested capital of $800,000 and a target return on investment of 15%. The total cost per unit is $20 based on a volume level of 25,000 units. Fantasy's markup percentage on total cost is:
A) 9.375%.
B) 24.0%.
C) 47.5%.
D) 62.5%.
E) None of the answers is correct.

Fantasy Transport Company Has Average Invested Capital of $800,000 and a Target