What is the standard direct materials cost per unit

Assignment Help Managerial Accounting
Reference no: EM132560576

A company produces a product known as Hydro. The company uses a standard costing system and provides you with the following information:

Direct materials required to produce 1 unit of Hydro: 10 kgs
Standard cost of direct materials: $6 per kg
Budgeted cost of direct materials: $5.75 per kg
Normal wastage while producing one unit of Hydro: 0.5 kgs

Question 1: Based on the above information, what is the standard direct materials cost per unit of product Hydro?

Select one:

Option 1: $62.5

Option 2: $60

Option 3: $65

Option 4: $57.5

Reference no: EM132560576

Questions Cloud

Calculate the variable overhead variances : ABC Ltd, Calculate the Variable overhead variances identifying (calculating) the spending variance and efficiency variances separately
Small family farm produces grain : Suppose a small family farm produces grain. Grain is a final product, since it is consumed by the producers on the farm.
Calculate the number of equivalents : Calculate the number of equivalents/L of Ca^2+ in a solution that is 2.7 x 10^-2 M in Ca^2+. Express in scientific notation.
Calculate the composition of the solution in mass : Calculate the composition of the following solution in mass/mass%: 50.5g KCl per 4.00 x 10^2 mL solution (d = 1.14 g/mL)
What is the standard direct materials cost per unit : Based on the above information, what is the standard direct materials cost per unit of product Hydro? A company produces a product known as Hydro.
What is the new molarity : A 50.0 mL portion of 0.500 M NaOH was diluted to 294.3 mL. What is the new molarity?
Opportunities related to product personalization : What are some of the biggest opportunities related to product personalization and taking care of customers that will come up in the future?
What are the peptide bonds that link amino acids : What are the peptide bonds that link amino acids together to make a primary polypeptide sequence?
Difference in profit between variable and absorption costing : What is the difference in profit between variable and absorption costing? It has no opening inventory and the closing inventory is 500 units.

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Prepare the cash flows for country kitchen bakeries

Prepare the cash flows from operating activities section of the statement of cash flows, using the direct method.

  Consider there is a well-financed one-year-old company in

consider there is a well-financed one-year-old company in the biotech industry that is concentrating on developing

  Sales mix decisiondr massy who specializes in internal

sales mix decisiondr. massy who specializes in internal medicine wants to analyze his sales mix to find out how the

  What are three purposes of budgeting

How does the management by exception concept relate to budgeting? What are five basic principles which, if followed, should improve the probability

  Identify any potential outlier data

Use the scatterplot graph provided, total cost against the activity: Identify any potential outlier data? Discuss any patterns that you observe?

  Calculate and explain variances that would help blake assess

Calculate and explain the variances that would help Blake assess whether renting the new milling machine reduced material waste and labor time

  Explain how the interest expense shown in income statement

Explain how the interest expense shown in the income statement could be $75,000, when the interest payment appearing in the statement of cash flows

  Determine what is the materials quantity variance

Determine what is the Materials Quantity Variance and what is the Materials Price Variance? 2 blocks of solid Oak per carving at $15.00 per block

  What is northern illinois labor efficiency variance

Northern Illinois employees assembled 600 versascopes. They were paid $15,974 for 1,630 hours of work. What is Northern Illinois' labor efficiency variance?

  What is the cash coverage ratio

Lever Age pays an 8% rate of interest on $9.50 million of outstanding debt with face value $9.5 million. What is the cash coverage ratio?

  Chance of being short on order

For any kind of companies it is important to choose and use the right types of costing system. Costing system is an accounting system uses by companies and organizations to monitor the company's expenditures and overheads

  Bayesian revision of probabilitiesthe manager of abc co is

bayesian revision of probabilitiesthe manager of abc co. is concerned that a competing firm might be planning to

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd