q6

Bonita Industries produces a product that requires 2.60 pounds of materials per unit. The allowance for waste and spoilage per unit is 0.30 pounds and 0.10 pounds, respectively. The purchase price is $5 per pound but a 2% discount is usually taken, Freight costs are $0.10 per pound, and receiving and handling costs are $0.03 per pound. The hourly wage rate is 512 per hour, but a raise which will werage 50.30 will go into effect soon. Payroll taxes are $1.20 per hour, and employee benefits average $2.40 per hour Standard production time is 1 hour per unit, and the allowance for rest periods and setup is 0.20 hours and 10 hours, respectively. The standard direct materials price per pound is $5.03 $5.13 O $4.90 $5.00