Lacrue Inc. has provided the following data concerming one of the products in it

Question

Lacrue Inc. has provided the following data concerming one of the products in its standard cost system Variable manufacturing overthead is appiled to products on the bas of dret d Quantity or Hours per Unit of Output 6.3 ounces Direct materials Direct labor Variable manufacturing overhead Price or $ 5.58 per ounce $22.00 per hour $ 3.80 per hour 8.40 hours 0.48 hours The actual output for the period was 3300 units The total standard cost per unit is closest to Multiple Choice $43.45 per unit $44.97 per unit 0 $56.52 per unit $55.03 per unit

Explanation / Answer

The total standard cost per unit = Direct material cost + Direct labor cost + Variable manufacturing overhead cost = 6.3*5.50 + 0.40*22 + 0.40*3.80 = 34.65 + 8.80 + 1.52 = $44.97

So, answer is $44.97 per unit

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