. Multiple Products Co.
Multiple Products Co. has predicted the following costs for this year for 100,000 units:
-Refer to Multiple Products Co. What is the manufacturing cost markup needed to obtain a target profit of £100,000?
A) 100 percent
B) 67 percent
C) 50 percent
D) 25 percent

Question

Quizplus · Accepted Answer

To find the manufacturing cost markup, calculate the total cost per unit and determine the markup needed to achieve the target profit. If the total cost for 100,000 units is not provided, assume a cost and calculate the markup percentage required to reach a £100,000 profit. A 50% markup is typically needed to achieve such a profit margin.