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A job order for 500 units of children's party giveaways were processed with coats of 80000 and 30000 for direct materials and direct labor, respectively.
Factory overhead was applied at 50% of direct labor cost which excludes a 5% provision for spoilage. Prior to transfer to the storeroom, 25 units were found to be spoiled with an estimated market value of P50 per unit
Problem 1: Assuming that the 25 units were only defective and are not sold but instead reworked for total direct rerals cost of 375 and total direct labor cost of 500. What is the unit cost of the goods transferred to toretoom if the rework costs are charged to the specific job?
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