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QUESTION

Green Corporation produces microwave units. The following per unit cost information is available:

Green Corporation produces microwave units. The following per unit cost information is available: direct materials $36; direct labor $24; variable manufacturing overhead $18; fixed manufacturing overhead $42; variable selling and administrative expenses $14; and fixed selling and administrative expenses $28. Its desired ROI per unit is $30. Compute its markup percentage using variable-cost pricing.

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