Largo,Inc ,Which Uses a Volume-Based Cost System,produces Cat Condos,and Has

Multiple Choice

Largo,Inc. ,which uses a volume-based cost system,produces cat condos,and has a gross profit margin of 50%.Direct materials cost $15 per unit,and direct labor costs $10 per unit.Manufacturing overhead is applied at a rate of 200% of direct labor cost.Nonmanufacturing costs are $27 per unit.How much does each cat condo sell for?

A) $50
B) $72
C) $90
D) $144