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Determine Inventory Costs
Mary Cosmetics sells specialty lipstick for a retail price of $12.25 each. Mary purchases each tube for $5.00 and pays the following additional amounts: $1.50 per tube in freight charges, $0.40 per tube in taxes, and $2 per tube in commissions to employees for sales.
Required:
Compute the cost of each tube of lipstick. Round your answer to two decimal places.$
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