Cost Data Relating to the Single Product Produced by the Jones

Multiple Choice

Cost data relating to the single product produced by the Jones Company are given below:
The Jones Company uses the absorption costing approach to cost-plus pricing described in the text with a desired markup of 60%. If the company plans to produce and sell 20,000 units each year, the selling price per unit would be:

A) $32.00
B) $41.60
C) $43.20
D) $36.00