Answer:
Total standard cost per unit= $71,41 unit
Explanation:
Standard cost is the sum of direct materials, direct labor, and manufacture overhead.
Direct materials:
Each unit of the product contains 3.40 pounds of materials.
The average waste and spoilage per unit produced under normal conditions is 0.10 pounds.
Materials cost $2 per pound, it takes a 5.00% cash discount.
Freight costs $0.45 per pound.
Direct materials= (3,4+0,10)*(2*0,95)+ (0,45*3,5) =$8,20unit
Direct labor:
Each unit requires 2.80 hours of labor.
Setup, cleanup, and downtime 0.10 hours per unit.
The average hourly pay rate of Stefani’s employees is $13.10.
Payroll taxes and fringe benefits are an additional $3.00 per hour.
Direct labor=($13,10*2,9hours)+($3*2,9hours)=$46,69 unit
Manufactured overhead:
Overhead is applied at a rate of $5.90 per direct labor hour.
Overhead=$5,90*2,8hours=$16,52unit
Total standard cost per unit= 8,20+46,69+16,52=$71,41 unit
