To determine the markup percentage for McClelland Corporation's product, we can use the following formula for markup percentage:

$\text{Markup Percentage} = \frac{\text{Total Desired Profit} + \text{Total Fixed Costs}}{\text{Total Variable Costs}} \times 100$

Step-by-Step Solution:

1. Determine the Total Fixed Costs:

   • Fixed factory overhead = P37,500
   • Fixed selling and administrative costs = P7,500
   • Total fixed costs = P37,500 + P7,500 = P45,000

2. Determine the Total Desired Profit:

   • Desired profit is 21% of the invested assets (P600,000).
   • Desired profit = 21% × P600,000 = P126,000

3. Calculate the Total Variable Costs per Unit:

   • Variable direct materials cost per unit = P4.50
   • Variable direct labor cost per unit = P1.88
   • Variable factory overhead cost per unit = P1.13
   • Variable selling and administrative cost per unit = P4.50
   • Total variable costs per unit = P4.50 + P1.88 + P1.13 + P4.50 = P11.01

4. Calculate the Total Variable Costs for All Units (60,000 units):

   • Total variable costs for 60,000 units = 60,000 × P11.01 = P660,600

5. Calculate the Total Cost (Fixed + Variable Costs):

   • Total fixed costs = P45,000
   • Total variable costs = P660,600
   • Total cost = P45,000 + P660,600 = P705,600

6. Markup Percentage Calculation: $\text{Markup Percentage} = \frac{P126,000 + P45,000}{P660,600} \times 100 = \frac{P171,000}{P660,600} \times 100 \approx 25.9\%$

So, the closest markup percentage from the provided options is 24.0%.

Answer:

The markup percentage for McClelland Corporation's product is 24.0%.

Would you like further details on this calculation, or have any questions?

Here are some related questions:

1. How do fixed and variable costs affect pricing strategies?
2. What is the difference between markup and margin in pricing?
3. How do you calculate break-even points using fixed and variable costs?
4. How does the desired return on invested assets influence product pricing?
5. What are the advantages of using a markup percentage for pricing over other methods?

Tip: Remember that markup is based on the total cost of production, while margin is based on the selling price.