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Product Cost Concept of Product Costing Voice Com Inc. uses the product cost concept of...

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Accounting

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Product Cost Concept of Product Costing Voice Com Inc. uses the product cost concept of applying the cost-plus approach to product pricing. The costs of producing and selling 4,500 cellular phones are as follows: Variable costs: Fixed costs: Direct materials $67 per unit Factory overhead $198,300 Selling and administrative expenses 69,700 Direct labor 30 Factory overhead 26 Selling and administrative expenses 19 Total $142 per unit Voice Com wants a profit equal to a 16% rate of return on invested assets of $598,100. a. Determine the amount of desired profit from the production and sale of 4,500 cellular phones. $ 95,696 b. Determine the product cost and the cost amount per unit for the production of 4,500 cellular phones. If required, round your answer to nearest dollar. 167 per unit c. Determine the product cost markup percentage (rounded to two decimal places) for cellular phones. 16 X % d. Determine the selling price of cellular phones. Round to the nearest dollar. Cost 167 per unit Markup 26.72 x Selling price 193.72 X per unit

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