Selling price set to earn a profit margin


Flint Company produces a product whose cost is $12. Assuming the company uses a cost-plus pricing system, what profit would be earned on a selling price set to earn a profit margin of 20% of cost?

(a) $2.40

(b) $9.60

(c) $12.00

(d) $14.40

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Accounting Basics: Selling price set to earn a profit margin
Reference No:- TGS095180

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