PRINTER VERSION NEXT Multiple Choice Question 73 Sheridan Company produces a product that requires 2.6 pounds of materials per unit. The allowance for waste and spoilage per unit is 0.3 pounds and 0.1 pounds, respectively. The purchase price is $2 per pound, but a 2% discount is usually taken. Freight costs are $0.1 per pound, and receiving and handling costs are $0.07 per pound. The hourly wage rate is $10 per hout, but a raise which will average 30.30 will go into affect soon. Payroll taxes are $1.20 per hour, and fringe benefits average $2.40 per hour. Standard production time is 1 hour per unit, and the allowance for rent periods and setup is 0.2 hours and 0.1 hours, respectively. The standard direct labor rate per hour $13.90. $10.30 $13.60 $10.00 Click if you would like to show Work for this question: Open Show Work