Answer:
$15.51 per Double chocolate almond supreme
Explanation:
Calculate the standard cost for a pound of Mama Fran's double chocolate almond supreme cookies.
1. Standard Material Cost (Ratio Denominator = 10 + 5 + 1 = 16)
Std. Mat Cost = 10 Ounces /16 * $0.80 + 5 Ounces /16* $6 + 1/16* $18
Standard Material Cost = $3.5 per Double chocolate almond supreme
2. Standard Direct Labor Cost
Std. Labor Cost = 1 /60 Hours * $12.7 per Hour + 7/60 Hour * $19 per Hour
Std. Labor Cost = $2.4283 per Double chocolate almond supreme
3. Standard Variable Overhead Cost
Std. Variable OH. Cost = 6/60 Hours * $35.8
Standard Variable overhead cost = $3.58 per Double chocolate almond supreme
4. Standard Fixed Overhead Cost
Std. Fixed Overhead per cake = 6/60 Hours * $60 per Hour
Standard Fixed overhead cost = $6 per Double chocolate almond supreme
Now Standard cost for a pound is calculated as under:
Standard cost for a pound = 2.9375 + 2.4617 + 3.70 + 6
Standard cost for a pound = $15.51 per Double chocolate almond supreme
