Mallard Corporation uses the product cost concept of product pricing. Below is cost information for the production and sale of 45,000 units of its sole product. Mallard desires a profit equal to a 12% rate of return on invested assets of $800,000. The cost per unit for the production of the company's product is
A) $13.15
B) $17.22
C) $15.40
D) $15.75

Question

Mallard Corporation uses the product cost concept of product pricing. Below is cost information for the production and sale of 45,000 units of its sole product. Mallard desires a profit equal to a 12% rate of return on invested assets of $800,000.  The cost per unit for the production of the company's product is
A) $13.15 
B) $17.22 
C) $15.40 
D) $15.75

Quizplus · Accepted Answer

The Answer of Mallard Corporation uses the product cost concept of product pricing. Below is cost information for the production and sale of 45,000 units of its sole product. Mallard desires a profit equal to a 12% rate of return on invested assets of $800,000.  The cost per unit for the production of the company's product is
A) $13.15 
B) $17.22 
C) $15.40 
D) $15.75

Mallard Corporation Uses the Product Cost Concept of Product Pricing