1) Perez Company uses both standards and budgets. For the year, estimated production of Product X is 588,500 units. Total estimated cost for materials and labor are $1,177,000 and $1,647,800.
Compute the estimates for (a) a standard cost and (b) a budgeted cost. (Round standard costs to 2 decimal places, e.g. $1.25.)
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Materials
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Labor
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| (a) |
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Standard cost |
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$
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$
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| (b) |
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Budgeted cost |
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$
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$
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2) Tang Company accumulates the following data concerning raw materials in making one gallon of finished product: (1) Price-net purchase price $2.30, freight-in $0.61, and receiving and handling $0.48. (2) Quantity-required materials 3.29 pounds, allowance for waste and spoilage 0.89 pounds.
Compute the following. (Round answers to 2 decimal places, e.g. 1.25.)
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Standard direct materials price per gallon. |
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$
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| (b) |
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Standard direct materials quantity per gallon. |
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pounds |
| (c) |
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Total standard materials cost per gallon. |
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$
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