A company is in the process of setting standard unit costs for next period. Product
J、uses two types of material, P and S. 7 kg of material P and 3 kg of material S are needed, at a standard price of $4 per kg and $9 per kg respectively.Direct labour will cost $7 per hour and each unit of
J、requires 5 hours of labour.Production overheads are to be recovered at the rate of $6 per direct labour hour, and general overhead is to be absorbed at a rate of ten per cent of production cost.What is the standard prime cost for one unit of product J?
A、$55
B、$90
C、$120
D、$132
J、uses two types of material, P and S. 7 kg of material P and 3 kg of material S are needed, at a standard price of $4 per kg and $9 per kg respectively.Direct labour will cost $7 per hour and each unit of
J、requires 5 hours of labour.Production overheads are to be recovered at the rate of $6 per direct labour hour, and general overhead is to be absorbed at a rate of ten per cent of production cost.What is the standard prime cost for one unit of product J?
A、$55
B、$90
C、$120
D、$132
【参考答案及解析】
$ per unit $ per unit Material P 7 kg x $4 28 Material S 3 kg x $9 27 55 Direct labour 5hr x $7 35 Standard prime cost of product J 90
$ per unit $ per unit Material P 7 kg x $4 28 Material S 3 kg x $9 27 55 Direct labour 5hr x $7 35 Standard prime cost of product J 90