Product Cost Method of Product Pricing
La Femme Accessories Inc. produces women's handbags. The cost of producing 1,100 handbags is as follows:
| Direct materials | $14,600 |
| Direct labor | 7,400 |
| Factory overhead | 6,400 |
| Total manufacturing cost | $28,400 |
The selling and administrative expenses are $28,700. The management desires a profit equal to 14% of invested assets of $498,000.
If required, round your answers to nearest whole number.\
Determine the selling price of handbags. Round your answers to nearest whole value.
| Cost | $per unit |
| Markup | $per unit |
| Selling price | $per unit |