Sitka Industries uses a cost system that carries direct materials inventory at a standard cost. The controller has established these standards for one ladder (unit): Sitka Industries cost standards \begin{tabular}{|c|c|c|} \hline & Standard Quantity & Standard Price \\ \hline Direct materials & 4 pounds & $5.07 per pound \\ \hline Direct labor & 4.96 hours & $14.8 per hour \\ \hline \end{tabular}