Girasol Products is thinking of expanding their product line. Their current income statement is as follows: The cost of the new product is $95 per unit made up of $50 of direct materials, $35 of direct labor and $10 of overhead per unit. What is the bid price assuming Girasol utilizes a mark-up on direct materials?
A) $119
B) $133
C) $70
D) $19.77

Question

Girasol Products is thinking of expanding their product line. Their current income statement is as follows:  The cost of the new product is $95 per unit made up of $50 of direct materials, $35 of direct labor and $10 of overhead per unit. What is the bid price assuming Girasol utilizes a mark-up on direct materials?
A) $119 
B) $133 
C) $70 
D) $19.77

Quizplus · Accepted Answer

The Answer of Girasol Products is thinking of expanding their product line. Their current income statement is as follows:  The cost of the new product is $95 per unit made up of $50 of direct materials, $35 of direct labor and $10 of overhead per unit. What is the bid price assuming Girasol utilizes a mark-up on direct materials?
A) $119 
B) $133 
C) $70 
D) $19.77

Girasol Products Is Thinking of Expanding Their Product Line