With the following information determine the cost per unit by calculating: direct labor, direct materials, indirect expenses (As explained in the class):

1. In the production area there are 3 equipment operators who charge by the hour for product D. Each one earns $ 12 / hour and they have 25% profit. They have worked 1780 hours, 1920 hours, and 1600 hours without incurring overtime.

2. In the production area there are 4 products with the following volumes produced per year: A (150,000), B (120,000), C (132,000), D (60,000). We are interested in D.

3. In the production area there are 2 packers for D who charge by the hour and charge at $ 10 / hour, they worked 1920 hours a year and have a 20% profit.

4. In the production area there is a supervisor for the department who charges $ 45,000 per year and has a profit of 30%.

5. In the production area there is a quality inspector for D who charge by the hour and charge at $ 20 / hour, they worked 1920 hours a year and have a 25% profit.

6. The following is the list of materials to make product D. For each D you need:

Part Cost Use

  Part Cost Use

 > 10 Screws 4 = $ 0.20 each 620,000

 > 10 Nuts = $ 0.08 each 623,000

 > 2 platforms = $ 1.23 each 122,000

 > 0.5 oz of paint = $ 0.80 / oz 1 880 pounds

 > 4 wheels = $ 0.85 each 248,000

 > 2 hydraulic axles = $ 1.30 each 1 21,000

7. The following indirect costs are departmental per year.

 > Utilities $ 12,500

 > Professional Services $ 24,000

 > Depreciation $ 15,000

 > MRO $ 34,000

 > Others $ 4,500

How much is the cost per unit of product D.