Q1) Accounting data on DuPont Kevlar product line to find out total manufacturing cost to make a pound of Kevlar. Similar data on DuPont Teflon product line are given below.
| Spreadsheet |
| Direct materials |
$60.00 per gallon |
| Direct labor |
$1.80 per gallon |
| Manufacturing overhead: |
| Variable |
$3.20 per gallon |
| Fixed |
$3,200,000 per month |
| General corporate sales and administrative costs |
$6,400,000 per month |
Costing procedure was used with, and suppose that DuPont expects to make 100,000 gallons in next month,
What seems to be total manufacturing cost per gallon of Teflon?