Standard direct materials cost per unit from variance data OBJ. 2, 3 The following data relating to direct materials cost for October of the current year are taken from the records of Good Clean Fun Inc., a manufacturer of organic toys:

Quantity of direct materials used 3,000 lbs.

Actual unit price of direct materials $5.50 per lb.

Units of finished product manufactured 1,400 units Standard direct materials per unit of finished product 2 lbs.

Direct materials quantity variance—unfavorable $1,000 Direct materials price variance—unfavorable $1,500 Determine the standard direct materials cost per unit of finished product, assuming that there was no inventory of work in process at either the beginning or the end of the month.