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 the desired profit is $28 per unit.
Determine the markup percentage using the (a) total cost, (b) product cost, and (c) variable cost methods.

Question

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 the desired profit is $28 per unit.​
Determine the markup percentage using the (a) total cost, (b) product cost, and (c) variable cost methods.

Quizplus · Accepted Answer

The Answer of 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 the desired profit is $28 per unit.​
Determine the markup percentage using the (a) total cost, (b) product cost, and (c) variable cost methods.

Sierra Company Produces Its Product at a Total Cost of $89