Xyz company uses activity-based pricing the company prices, Ask an Expert

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XYZ Company uses activity-based pricing. The company prices their products by charging customers the direct cost by using a markup of 35% on the direct cost plus adding service cost that are provided. The service costs are $7.50 per order, $3.00 for each product ordered, and a $2.00 per pound shipping charge.

Ben Corporation made ordered from XYX 12 orders for goods with a total direct cost of $6,000. Wilson ordered 40 different products that weighed a total of 600 lbs. What price did Ben Corporation pay?

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Managerial Accounting, Accounting

Category:- Managerial Accounting
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