Also. B: Calculate material, labor and overhead variances

Hayes Chemical Company produces a chemical used in dry cleaning. Its accounting system uses standard costs. The standards per 0.5-gallon can of chemical call for 1.2 gallons of material and 1.5 hours of labor. (1.2 gallons of material are needed to produce a 0.5-gallon can of product due to evaporation.) The standard cost per gallon of material is $ 7. The standard cost per hour for labor is $ 8.83. Overhead is applied at the rate of $ 7.72 per can. Expected production is 21,000 cans with fixed overhead per year of $ 57, 120 and variable overhead of $ 6 per unit (a 0.5-gallon can). During 2015, 23, 900 cans were produced; 36,000 gallons of material were purchased at a cost of $ 249, 120; 31, 200 gallons of material were used in production. The cost of direct labor incurred in 2015 was $ 290, 091 based on an average actual wage rate of $ 8.26 per hour. Actual overhead for 2015 was $ 233, 300. Determine the standard cost per unit. (Round answer to 2 decimal places, e.g. 15.25.)