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Blockbuster Video Rental has budgeted sales of $780,000 with the following budgeted costs:
Direct material $168,000
Direct manufacturing labour 132,000
Factory overhead:
Variable 96,000
Fixed 108,000
Selling and administrative expense:
Variable 72,000
Fixed 100,000
Required
Problem 1: Compute the average markup percentage for setting prices as a percentage of:
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