#5

Seville Chemicals produces a fuel additive. Operating data for January follow. Seville Chemicals produced 32,000 barrels of the additive In January. Requlred: Compute the cost per barrel of the additive produced in January. In May. Seville Chemicals produced 26,000 barrels of the additive. Labor costs were $17,600, and manufacturing overhead was $333.000. The cost per barrel was \$15.80. Requlred: What was the materials cost in May