Multiple Choice Question 72 Bramble Corp. produces a product that requires 2.5 p

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Multiple Choice Question 72 Bramble Corp. produces a product that requires 2.5 pounds o materials per unit. The allowance for waste and spo age per unit is 0 3 pounds and 0.1 pounds espectively. The purchase price s S2 per pound, but a 2% discount is usually taken. Freight costs are $0.1 per pound, and receiving and handing costs are $0.1 per pound. The hourly wage rate is $12 per hour, but a raise which will average $0.30 will go into effect soon. Payroll taxes are $1.20 per hour, and tringe benefits average $2.40 per hour. Standard production time is 1 hour per unit, and the allowance for rest periods and setup is 0.2 hours and 0.1 hours, respectively. The standard direct materials quantity per unit is O 2.8 pounds. 25 pounds. 2.6 pounds. 2.9 pounds. Click if you would like to Show Work for this question: Open Show Work Question Attempts: 0 of 1 used SAVE FOR LATER SUBMIT ANSWER cy 2000-2018 John Wiey & Sons, Inc, All Rights Reserved. A Division of John Wiey & Sons, Inc. Version 4.24.5.1

Explanation / Answer

Standard material quantity per unit :

so answer is d) 2.9 pounds

Required pound 2.50 per unit Wastage 0.30 per unit Spoilage 0.10 per unit Standard material quantity 2.90 per unit

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