Question
Windsor Company has gathered the following information about its product. Direct materials : Each unit of product contains 3.10 pounds of materials. The average waste
Windsor Company has gathered the following information about its product. Direct materials: Each unit of product contains 3.10 pounds of materials. The average waste and spoilage per unit produced under normal conditions is 0.90 pounds. Materials cost $2 per pound, but Windsor always takes the 4.00% cash discount all of its suppliers offer. Freight costs average $0.45 per pound. Direct labor. Each unit requires 1.30 hours of labor. Setup, cleanup, and downtime average 0.20 hours per unit. The average hourly pay rate of Windsors employees is $12.50. Payroll taxes and fringe benefits are an additional $2.40 per hour. Manufacturing overhead. Overhead is applied at a rate of $7.20 per direct labor hour. Compute Windsors total standard cost per unit. (Round answer to 2 decimal places, e.g. 1.25.)
Total standard cost per unit | $enter the total standard cost per unit in dollars rounded to 2 decimal places |
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