Lens Care Inc

Multiple Choice

Lens Care Inc.(LCI) manufactures specialized equipment for polishing optical lenses.There are two models - one mainly used for fine eyewear (F-32) and another for lenses used in binoculars,cameras,and similar equipment (B-13) .
The manufacturing cost of each unit is calculated using activity-based costing,using the following manufacturing cost pools:
LCI currently sells the B-13 model for $1,775 and the F-32 model for $1,220.Manufacturing costs and activity usage for the two products are as follows:
The profit margin based on manufacturing cost for model F-32 is:

A) $481.68.
B) $314.69.
C) $239.09.
D) $317.18.
E) $338.16.