Your answer is incorrect. Stefani Company has gathered the following information about its product. Direct materials: Each unit of product contains 3.10 pounds of materials. The average waste and spoilage per unit produced under normal conditions is 0.90 pounds. Materials cost $1 per pound, but Stefani always takes the 5.00% cash discount all of its suppliers offer. Freight costs average $0.30 per pound. Direct labor. Each unit requires 1.60 hours of labor. Setup, cleanup, and downtime average 0.10 hours per unit. The average hourly par rate of Stefani's employees is $10.60. Payroll taxes and fringe benefits are an additional $3.10 per hour. Manufacturing overhead. Overhead is applied at a rate of $4.10 per direct labor hour. Compute Stefani's total standard cost per unit. (Round answer to 2 decimal places, eg. 1.25.) Total standard cost per unit $
Your answer is incorrect. Stefani Company has gathered the following information about its product. Direct materials: Each unit of product contains 3.10 pounds of materials. The average waste and spoilage per unit produced under normal conditions is 0.90 pounds. Materials cost $1 per pound, but Stefani always takes the 5.00% cash discount all of its suppliers offer. Freight costs average $0.30 per pound. Direct labor. Each unit requires 1.60 hours of labor. Setup, cleanup, and downtime average 0.10 hours per unit. The average hourly par rate of Stefani's employees is $10.60. Payroll taxes and fringe benefits are an additional $3.10 per hour. Manufacturing overhead. Overhead is applied at a rate of $4.10 per direct labor hour. Compute Stefani's total standard cost per unit. (Round answer to 2 decimal places, eg. 1.25.) Total standard cost per unit $
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Your answer is incorrect.
Stefani Company has gathered the following information about its product.
Direct materials: Each unit of product contains 3.10 pounds of materials. The average waste and spoilage per unit produced under
normal conditions is 0.90 pounds. Materials cost $1 per pound, but Stefani always takes the 5.00% cash discount all of its suppliers
offer. Freight costs average $0.30 per pound.
Direct labor. Each unit requires 1.60 hours of labor. Setup, cleanup, and downtime average 0.10 hours per unit. The average hourly pay
rate of Stefani's employees is $10.60. Payroll taxes and fringe benefits are an additional $3.10 per hour.
Manufacturing overhead. Overhead is applied at a rate of $4.10 per direct labor hour.
Compute Stefani's total standard cost per unit. (Round answer to 2 decimal places, e.g. 1.25.)
Total standard cost per unit
$
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