Product Cost Method of Product Pricing La Femme Accessories Inc. produces women's handbags. The cost of producing 1,170 handbags is as follows:
Direct materials $16,400
Direct labor 8,500
Factory overhead 6,500
Total manufacturing cost $31,400
The selling and administrative expenses are $26,000. The management desires a profit equal to 17% of invested assets of $501,000.

If required, round your answers to nearest whole number.

a. Determine the amount of desired profit from the production and sale of 1,170 handbags.

b. Determine the product cost per unit for the production of 1,170 handbags.

c. Determine the product cost markup percentage for handbags.

d. Determine the selling price of handbags. Round your answers to nearest whole value.
Cost:
Markup:
Selling price: