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Red Grass Company produces high definition television sets and uses total cost-plus pricing. The following information is available for this product:
Fixed cost per unit $100
Variable cost per unit 200
Total cost per unit 300
Desired ROI per unit 123
Question 1: Red Grass Company's markup percentage would be
Option a) 123%.
Option b) 67%.
Option c) 23%.
Option d) 41%.
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