oman Cables Industry (SAOG) is one of the leading manufacturer of power cables in Oman. The company established a standard costing system to control the costs. The standard material and labour requirements for one of its product is as under : The company uses three materials D, E and F to produce the finished product. It requires 60 Kgs of D, 80 Kgs of E and 40 Kgs of F to produce hundred units of finished products. The standard purchase price per Kg of the material D, E and F is RO 24, RO 18 and RO 15 respectively. The company has appointed three categories of labour to produce the products. Four skilled, two semi-skilled and two unskilled workers together produce fifty units in three hours. The standard labour rate per hour amounts to RO 50, RO 30 and RO 10 for skilled, semi-skilled and unskilled workers respectively. The labour force worked is expected to work for 300 hours during the month. The variable overheads are charged at the standard rate of RO 30 per skilled labour hour. The budgeted Fixed Overheads for a month amount to RO 50,000 and are charged based on the standard/budgeted output. The management of the company wants to estimate the standard cost of producing the product to fix the selling price of the product. The companys policy is to have a margin of 20% on its products. You are required to estimate the standard cost per unit of the finished product and determine the selling price of the product as per the companys policy.