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Compute the dollar markup per unit

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Reference no: EM133065159

Question - Skull Company makes snowboards and uses the total cost method in setting product price. Its costs for producing 20,000 units follow. The company targets a 14.0% markup on total cost.

Variable Costs per Unit

Direct materials $121

Direct labor 46

Overhead 41

Selling, general and administrative 9

Fixed Costs (total)

Overhead $491,000

Selling, general and administrative 469,000

Required -

1. Compute the total cost per unit if 20,000 units are produced.

2. Compute the dollar markup per unit.

3. Compute the selling price per unit.

Reference no: EM133065159

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