evaluation of standard cost per unitmushin


Evaluation of Standard Cost per unit.

Mushin company has gathered the information shown below about its product.

Direct materials: Each unit of product contain 4.8 pounds of materials. The average waste and spoilage per unit produced under normal conditions is 0.9 pounds. Materials cost $5 per pound,but Muhsin always take the 2% cash discount all ot its suppliers offer. Freight costs average $0.30 per pound.
Direct labor: Each unit requires 3 hours of labor. Setup, cleanup, and downtime average 0.6 hours per unit. The average horly pay rate of Muhsin's employees is $14. Payroll taxes and tange benifits are an additional $5 per hour.
Manufacturing overhead: Overhead is applied at a rate of $8 per direct labor hour.

Instructions

Compute Muhsin's total standard cost per unit. (Round your answer to 2 decimal places.)

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Financial Accounting: evaluation of standard cost per unitmushin
Reference No:- TGS0451357

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