Which of the Following Items Are Included in Calculating the Markup

Multiple Choice

Which of the following items are included in calculating the markup percentage under the absorption approach to cost-plus pricing described in the text? $\quad$ $\quad$$\begin{array}{ccccc}\text { Variable Cost }& \quad\quad\quad\quad\quad\quad\text { Fixed Cost } & \quad\quad\quad\quad\text { Desired} \end{array}$
$\begin{array}{ccccc}\text { Production } & \quad\quad\quad\text { Selling } & \text { Production } & \text { Selling } &\quad \text { Profit } \end{array}$

A. $\quad$$\begin{array}{llcc}\text { Yes } &\quad\quad\quad\quad \text { No } &\quad\quad\quad \text { Yes } &\quad\quad \quad\text { No } &\quad \text { Yes } \end{array}$
B. $\quad$$\begin{array}{llcc}\text { No } & \quad\quad\quad\quad\text { Yes } & \quad\quad\quad\text { No } & \quad\quad\quad\text { Yes } &\quad \text { Yes } \end{array}$
C. $\quad$$\begin{array}{llcc}\text { No } & \quad\quad\quad\quad\text { No } & \quad\quad\quad\text { Yes } &\quad\quad\quad \text { Yes } & \quad\text { Yes } \end{array}$
D. $\quad$$\begin{array}{llcc}\text { No } &\quad\quad\quad\quad \text { Yes } &\quad\quad\quad \text { No } & \quad\quad\quad\text { Yes } & \quad\text { No }\end{array}$

A) Option A
B) Option B
C) Option C
D) Option D