The markup for the new product under


Justin Corp estimates that an investment of $800,000 would be needed to produce and sell 20,000 units of a new product each year. At this level of activity, the unit product cost would be $100. Selling, general and administrative expenses would be $500,000 per year. If a 25% return on investment is desired, then the markup for the new product under the absorption costing approach to cost-plus pricing would be?

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Accounting Basics: The markup for the new product under
Reference No:- TGS0708068

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