Eagle Stationery & Supplies Company sells jumbo highlighters at $160 per highlighter. The costs associated with each highlighter are as follows: Direct materials $65 Direct labour $42 Variable factory overhead $17 Total Fixed Costs is $152,280 What is the contribution margin ratio? Question 18Answer a. 22.5% b. 29.0% c. 77.5% d. 40.6%

Eagle Stationery & Supplies Company sells jumbo highlighters at $160 per highlighter. The costs associated with each highlighter are as follows: Direct materials $65 Direct labour $42 Variable factory overhead $17 Total Fixed Costs is $152,280 What is the contribution margin ratio? Question 18Answer a. 22.5% b. 29.0% c. 77.5% d. 40.6%

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 2PB: The following product costs are available for Kellee Company on the production of eyeglass frames:...

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roduct Cost Method of Product Costing MyPhone, Inc., uses the product cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 5,160 units of cell phones are as follows: Variable costs: Fixed costs: Direct materials $90 per unit Factory overhead $199,200 Direct labor 31 Selling and admin. exp. 70,300 Factory overhead 23 Selling and admin. exp. 22 Total variable cost per unit $166 per unit MyPhone desires a profit equal to a 13% rate of return on invested assets of $600,800. a. Determine the amount of desired profit from the production and sale of 5,160 units of cell phones.$fill in the blank 1 b. Determine the product cost per unit for the production of 5,160 of cell phones. If required, round your answer to nearest dollar.$fill in the blank 2 per unit c. Determine the product cost markup percentage (rounded to two decimal places) for cell phones.fill in the blank 3 % d.…