Staley Toy Co. makes toy flutes. Two manufacturing overhead application bases are used; some overhead is applied on the basis of machine hours at a rate of $7.80 per machine hour, and the balance of the overhead is applied at the rate of 250% of direct labor cost. Required: a. Calculate the cost per unit of October production of 4,500 toy flutes that required. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Raw materials costing $690. 23 direct labor hours costing $390. 25 machine hours. b. At the end of October, 3,920 of these toy flutes had been sold. Calculate the ending inventory value of the toy flutes still in inventory at October, 31
Staley Toy Co. makes toy flutes. Two manufacturing overhead application bases are used; some overhead is applied on the basis of machine hours at a rate of $7.80 per machine hour, and the balance of the overhead is applied at the rate of 250% of direct labor cost. Required: a. Calculate the cost per unit of October production of 4,500 toy flutes that required. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Raw materials costing $690. 23 direct labor hours costing $390. 25 machine hours. b. At the end of October, 3,920 of these toy flutes had been sold. Calculate the ending inventory value of the toy flutes still in inventory at October, 31
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Staley Toy Co. makes toy flutes. Two manufacturing
Required:
a. Calculate the cost per unit of October production of 4,500 toy flutes that required. (Do not round intermediate calculations. Round your answer to 2 decimal places.)
- Raw materials costing $690.
- 23 direct labor hours costing $390.
- 25 machine hours.
b. At the end of October, 3,920 of these toy flutes had been sold. Calculate the ending inventory value of the toy flutes still in inventory at October, 31.
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