Wilde Corporation budgeted the following costs for the production of its one and only product for the next fiscal year:

Wilde has an annual target operating income of $990,000.
The markup percentage for setting prices as a percentage of the full cost of the product is ________.
A) 31.9%
B) 36.3%
C) 45.8%
D) 22.7%

Question

Wilde Corporation budgeted the following costs for the production of its one and only product for the next fiscal year:

Wilde has an annual target operating income of $990,000.
The markup percentage for setting prices as a percentage of the full cost of the product is ________.
A) 31.9% 
B) 36.3% 
C) 45.8% 
D) 22.7%

Quizplus · Accepted Answer

Markup percentage = $990,000 / $4,355,000 = 22.7%

Wilde Corporation Budgeted the Following Costs for the Production of Its