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A computer assembly firm purchases computer parts at $235.00 per computer. the operating expenses are 25.00% on cost and rate of markup is 60.00% on cost. a. what is the selling price of each computer?

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Final answer:

The selling price of each computer is calculated by adding the cost of parts, operating expenses, and markup. The total selling price comes out to $434.75 per computer.

Step-by-step explanation:

To calculate the selling price of each computer, we need to consider both the cost of the parts and the additional expenses and markup. The cost of parts is given as $235.00 per computer. The operating expenses are 25.00% of the cost, and the markup is 60.00% on cost.

First, we calculate the operating expenses by taking 25% of $235.00, which equals $58.75. Adding this to the cost of parts gives us a subtotal of $293.75. Next, to find the markup amount, we calculate 60% of $235.00, which is $141.00. Finally, we add the markup to the subtotal to determine the selling price.

The selling price of the computer is the subtotal of $293.75 plus the markup of $141.00, equaling $434.75.

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