Answer:
$3.42
Step-by-step explanation:
Meters of material required = 1.2 meters
Cost per meter of material = $0.85
Direct labor hours = 0.1
Cost of direct labor per hour = $15
Overhead rate = $9 per direct labor hour
Standard cost per unit of product :
(Direct material cost per unit + direct labor cost per unit + overhead cost per unit)
Direct material cost per unit :
Material needed × cost per meter = (1.2 × $0.85) = $1.02
Direct labor cost per unit :
Direct labor hour × cost per hour = ( 0.1 × $15) = $1.5
Overhead cost:
0.1 * $9 = $0.9
Standard cost :
($1.02 + $1.5 + $0.9) = $3.42