Linwood Company recently began production of a new navigation device, which required a capital investment of $660,000. Linwood is currently considering establishing a selling price for this new device that will ensure a 25% return on the capital investment. The engineering and the sales department compiled the following estimates for producing and selling 77,000 devices:

Per Unit Total (77,000 units)
Direct Materials $12
Direct Labor $26
Variable Manufacturing Overhead $14
Selling and Administrative Expenses $17
Fixed Manufacturing Overhead $223,000
General and Administrative Expenses $73,000

Required:

Do not enter dollar signs or commas in the input boxes.
Round all answers to 2 decimal places.

a) Using the cost plus pricing method, calculate the markup percentage.

Full Cost: $Answer


Markup Percentage: Answer
%