Answer:
1. cost per chair: $86.40
2. selling price per chair: $146.88
Step-by-step explanation:
1. The total cost per chair will be the sum of the cost of materials and the overhead cost (equipment, energy, labor, marketing). The cost of materials is ...
$500/(16 chairs) = $31.25/chair
So, the total cost is ...
cost of each chair = material cost + overhead cost
= $31.25 +55.15
cost of each chair = $86.40
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2. We assume the markup is 70% of the cost, so will be ...
0.70 · $86.40 = $60.48
Then the selling price of the chair will be ...
selling price = cost + markup
selling price = $86.40 +60.48
selling price = $146.88
and we know that 
