The following data relates to the operations of company A; direct material cost per unit- ghc5, direct labour cost/unit- ghc20 @ ghc2/hour, indirect production expense is made up of- depreciation- 50000, indirect material- ghc30000, and indirect labour- ghc20000. The company plans to produce 5000units and absorb overhead based on direct labour hours. What is the cost per unit? A. Ghc45 B. Ghc40 C. Ghc35 D. Ghc30

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter5: Process Costing
Section: Chapter Questions
Problem 2PB: The following product costs are available for Kellee Company on the production of eyeglass frames:...
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The following data relates to the operations of company A; direct material cost per unit- ghc5, direct labour cost/unit- ghc20 @ ghc2/hour, indirect production expense is made up of- depreciation- 50000, indirect material- ghc30000, and indirect labour- ghc20000. The company plans to produce 5000units and absorb overhead based on direct labour hours. What is the cost per unit? A. Ghc45 B. Ghc40 C. Ghc35 D. Ghc30 Reset Selection
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