Walmart Stores, Inc. is analyzing its supply chain costs using various accounting methods:

• Requirements:
  • Calculate the Standard Cost per unit for a new clothing line:
    • Direct Materials: $15
    • Direct Labor: $5
    • Manufacturing Overhead: $2
• Implement Marginal Cost Accounting to assess the cost impact of seasonal inventory changes.
• Apply Activity-Based Costing to allocate logistics and distribution costs.
• Discuss how each costing method influences inventory management and profitability at Walmart.

Standard Cost Calculation:

Category	Amount per Unit ($)
Direct Materials	$15
Direct Labor	$5
Manufacturing Overhead	$2
Total Standard Cost per Unit	$22