Wood You Lie To Me Furniture Company manufactures designer home furniture. Wood You Lie To Me uses a standard cost system. The direct labor, direct materials, and factory overhead standards for an unfinished dining room table are as follows:

a. Determine the standard cost per dining room table.
b. Why would Wood You Lie To Me Furniture Company use a standard cost system?

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$24.00 per hr 4.0 hrs. $22.00 per bd. ft. 32 bd. ft. $3.00 per direct labor hr. $2.00 per direct labor hr. Direct labor: standard rate standard time per unit standard price standard quantity Direct materials (oak): Variable factory overhead: standard rate Fixed factory overhead: ndard rate