Exercise 15-3 Bridpeport Company has gathered the fol owing infermation about it

Question

Exercise 15-3 Bridpeport Company has gathered the fol owing infermation about its produc Direct metens, tech unt o product conta 5 the erage weste sr d spoilage per ur produced under norm a condit ons |& 5 pounds Meter s cost S5 per po but Bridgeport 8 ays takes the 2% cas decount 5 of its suppers Direct afbor. E-ch u it requ"es 2 hours labor. Se tup deanup, ard downtime, eraye 0.5 h urs per unit The r eray" hourly p y ral ntlgepo t's grriployees " 510. poyrtll t .nd fnnce benefits dre dn additional 52 per hour Manufactuing ovemead. Overhead is applied at a rate $7 per direct labor hour Compute Bridceports t per unit. Round answer t .25.) Total standard cest per unit ine 3.5 pounds of meteri 55 per peund, but e r eight costs 8ve age s 27 per pound ly pey rate of Bridgepoxrt otal standard cost 2 decimal places, e.. Clirk if you woukd like to Sihow Wark far this question:Oon Shew Work

Explanation / Answer

Material:

=(3.5+.5)×$5×.98 + $.27 ×(3.5+.5)

=$19.60+$1.08

=$20.68

Labour:

=(2+.5)×$10+$2(2+.5)

=$25+$5

=$30

Overhead:

=$7×(2+.5)

=$17.50

Total standard cost per unit=$20.68+$30+$17.50

=$68.18 per unit

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