Harpers's Co. Job 501 for the manufacture of 2,200 coats which was completed during the month of August at the unit costs presented below. Final inspection of Job 501 disclosed 200 spoiled coats which was sold to a jobber for P6,000. Direct Materials 20 Direct Labor 18 Factory Overhead 18 Total 56

The factory overhead includes an allowance of P1 for spoiled work. Assume that the spoilage loss is charged to all production during August. What would be the unit cost of the coats produced for Job 501? a. 53.00 b. 55.00 c. 56.00 d. 58.60

Using the same information in the preceding number, assume instead that the spoilage loss is attributed to the exacting specifications of Job 501 and is charged to this specific job. What would be the unit cost of the coats produced for Job 501? a. 55.00 b. 57.50 c. 58.60 d. 61.60