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Job 652 was recently completed. The following data have been recorded on its job cost sheet:_______.
Direct materials $ 65,400
Direct labor-hours 1,236 DLHs
Direct labor wage rate $ 15 per DLH
Number of units completed 4,800 units
The company applies manufacturing overhead on the basis of direct labor-hours. The predetermined overhead rate is $35 per direct labor-hour.
Required:
Compute the unit product cost that woild appear on the job cost sheet for this job. (Round your answer to 2 decimal places.)
Unit product cost

Respuesta :

Answer:

Unit product cost = $26.50

Explanation:

The computation of the unit product cost is shown below:

As we know that

Unit product cost = Total cost ÷ number of units completed

where,

Total cost is

= Direct materials + direct labor + manufacturing overhead

= $65,400 + 1,236 × $15 + 1,236 × $35

= $65,400 + $18,540 + $43,260

= $127,200

And, the number of units completed is 4,800 units

So, the unit product cost is

= $127,200 ÷ 4,800 units

= $26.50

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