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 dollar amount of desired profit from the production and sale of the company's product is:
A) $105,840
B) $225,000
C) $ 96,000
D) $220,500

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 dollar amount of desired profit from the production and sale of the company's product is:
A) $105,840 
B) $225,000 
C) $ 96,000 
D) $220,500

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 dollar amount of desired profit from the production and sale of the company's product is:
A) $105,840 
B) $225,000 
C) $ 96,000 
D) $220,500

Mallard Corporation Uses the Product Cost Concept of Product Pricing