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Wesley company makes bowling balls and uses the total cost method in setting product prices. It’s costs for producing 10,000 bowling balls follow:

Variable costs per unit:
Direct materials $ 50.00
Direct labor 12.50
Overhead 10.00
Selling, general, and administrative 2.50

Fixed costs (total)
Overhead $ 235,000
Selling, general, and administrative 215,000

The dollar markup per unit it:
Multiple Choice:
A ) $9.38
B ) $5.63
C) $16.88
D) $13.75
E ) $15.00


Sagot :

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