Standard Product Cost Atlas Furniture Company manufactures designer home furniture. Atlas uses a standard cost system, The direct labor, direct materials, and factory overhead standards for an unfinished dining room table are as follows: Direct labor: standard rate $19.00 per hr standard time per 3.5 hrs. run I Direct materials (oak): standard price $8.00 per bd. ft. standard quantity 16 bd. ft. Variable factory overhead: standard rate $3.20 per direct labor hr Fixed factory overhead: standard rate $1.20 per direct labor hc a. Determine the standard cost per dining room table. If required, round your answer to two decimal places per table b. A standard cost system provides Atlas Furniture Company's management a cost control tool using the principle of Using this principle, cost deviations from standards can be investigated and corrected. Previous Next