Assume that Leno uses cost-plus pricing, setting the selling price 22% above its costs. What would be the price charged for the All- Body swimsuit? Selling price

Extracted text: Assume that Leno uses cost-plus pricing, setting the selling price 22% above its costs. What would be the price charged for the All- Body swimsuit? Selling price


Extracted text: Leno Company makes swimsuits and sells these suits directly to retailers. Although Leno has a variety of suits, it does not make the All- Body suit used by highly skilled swimmers. The market research department believes that a strong market exists for this type of suit. The department indicates that the All-Body suit would sell for approximately $100. Glven its experience, Leno believes the All-Body suit would have the following manufacturing costs. Direct materials $29 Directlabor 27 Manufacturing overhead 44 Total costs $100