Answered step by step
Verified Expert Solution
Question
1 Approved Answer
x Your answer is incorrect. Try again. Stefani Company has gathered the following information about its product. Direct materials: Each unit of product contains 3.50
x Your answer is incorrect. Try again. Stefani Company has gathered the following information about its product. Direct materials: Each unit of product contains 3.50 pounds of materials. The average waste and spoilage per unit produced under normal conditions is 1.50 pounds. Materials cost $4 per pound, but Stefani always takes the 5.00% cash discount all of its suppliers offer. Freight costs average $0.25 per pound. Direct labor. Each unit requires 2.00 hours of labor. Setup, cleanup, and downtime average 0.20 hours per unit. The average hourly pay rate of Stefani's employees is $13.70. Payroll taxes and fringe benefits are an additional $2.20 per hour. Manufacturing overhead. Overhead is applied at a rate of $6.00 per direct labor hour. Compute Stefani's total standard cost per unit. (Round answer to 2 decimal places, e.g. 1.25.) Total standard cost per unit
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started