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What is the markup on variable costs needed to break even

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Reference no: EM132013396

Question - Nana Company has the following budgeted costs for 10,000 units:

Variable Costs Fixed Costs

Manufacturing $400,000 $150,000

Selling & Administrative 200,000 50,000

Total $600,000 $200,000

Required:

a. What is the markup on variable costs needed to break even?

b. What is the markup on variable costs needed to obtain a target profit of $100,000?

c. What is the markup on manufacturing costs needed to obtain a target profit of $200,000?

Reference no: EM132013396

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