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Durden Soap manufactures bar soap and liquid soap. Durden pays the Quality Inspector $48,000 per year. Durden estimates they will produce 80,000 units during the
Durden Soap manufactures bar soap and liquid soap. Durden pays the Quality Inspector $48,000 per year. Durden estimates they will produce 80,000 units during the coming year. Durden produced 8,000 units in June, and 12,000 units in July. What is the cost per unit in June and the cost per unit in July? (Hint - calculate the predetermined overhead rate)
a.$.60 June; $.60 July
b.$.50 June; $.63 July
c.$.70 June; $.63 July
d.$.50 June; $.50 July
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