Question
Question 19 Sofie Industries gathered the following budgeted information about its product: Each unit of product contains 4 kg of materials at a cost of
Question 19
Sofie Industries gathered the following budgeted information about its product: Each unit of product contains 4 kg of materials at a cost of $9 per kilogram. The average waste and spoilage per unit produced under normal conditions is 0.30 kg. Freight costs average $0.90 per kilogram. Each unit requires 2 hours of labour. Rest periods and cleanup average 0.30 hours per unit and set-up time averages 0.40 hours. The average pay rate of Sofies employees is $12 per hour with an additional $1.60 per hour for payroll taxes and benefits. Manufacturing overhead is applied at a rate of $9 per direct labour hour. Calculate Sofies total standard cost per unit. (Round answer to 2 decimal places, e.g. 15.25.)
Total standard cost per unit | $ |
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