題組內容

1. NTPU Company is about to enter the highly competitive personal electronics market with a new optical reader. In anticipation of future growth, the company has leased a large manufacturing facility and has purchased several expensive pieces of equipment. In 2018, the company's first year, NTPU budgets for production and sales of 24,000 units, compared with its practical capacity of 48,000. The company's cost data are as follows: | Variable manufacturing cost per unit: | | | --- | --- | | Direct materials | $20 | | Direct manufacturing labor | 35 | | Manufacturing overhead | 9 | | Fixed manufacturing overhead | $576,000 | Required:

(1) Assume that NTPU uses absorption costing and uses budgeted units produced as the denominator for calculating its fixed manufacturing overhead rate. Selling price is set at \( 130\% \) of manufacturing cost. Compute NTPU's selling price. \( (2\%) \)