Question

Problem 10-10 Multiple Products, Materials, and Processes [LO10-1, LO10-2] Mickley Corporation produces two products, Alpha6s and Zeta7s, which pass through two operations, Sintering and Finishing. Each of the products uses two raw materials, X442 and Y661. The company uses a standard cost system, with the following standards for each product (on a per unit basis): Raw Material Standard Labor Time Product X442 Y661 Sintering Finishing Alpha6 1. 8 kilos 2. 0 liters 0. 20 hours 0. 80 hours Zeta7 3. 0 kilos 4. 5 liters 0. 35 hours 0. 90 hours Information relating to materials purchased and materials used in production during May follows: Material Purchases Purchase Cost Standard Price Used in Production X442 14,500 kilos $52,200 $3. 50 per kilo 8,500 kilos Y661 15,500 liters $20,925 $1. 40 per liter 13,000 liters The following additional information is available: a. The company recognizes price variances when materials are purchased. B. The standard labor rate is $19. 80 per hour in Sintering and $19. 20 per hour in Finishing. C. During May, 1,200 direct labor-hours were worked in Sintering at a total labor cost of $27,000, and 2,850 direct labor-hours were worked in Finishing at a total labor cost of $59,850. D. Production during May was 1,500 Alpha6s and 2,000 Zeta7s. Requied: 1. Complete the standard cost card for each product, showing the standard cost of direct materials and direct labor

Answer 1

Step-by-step explanation:

Certainly, I can help you complete the standard cost card for each product based on the provided information. Let's start with the standard cost card for each product, showing the standard cost of direct materials and direct labor.

**Standard Cost Card for Alpha6s:**

| Component | Quantity | Standard Price/Rate | Standard Cost |

|--------------------|----------|---------------------|---------------|

| Direct Materials: | | | |

| X442 (kilos) | 1.8 | $3.50/kilo | $6.30 |

| Y661 (liters) | 2.0 | $1.40/liter | $2.80 |

| | | | |

| Direct Labor: | | | |

| Sintering (hours) | 0.20 | $19.80/hour | $3.96 |

| Finishing (hours) | 0.80 | $19.20/hour | $15.36 |

| | | | |

| **Total Standard Cost** | | | **$28.42** |

**Standard Cost Card for Zeta7s:**

| Component | Quantity | Standard Price/Rate | Standard Cost |

|--------------------|----------|---------------------|---------------|

| Direct Materials: | | | |

| X442 (kilos) | 3.0 | $3.50/kilo | $10.50 |

| Y661 (liters) | 4.5 | $1.40/liter | $6.30 |

| | | | |

| Direct Labor: | | | |

| Sintering (hours) | 0.35 | $19.80/hour | $6.93 |

| Finishing (hours) | 0.90 | $19.20/hour | $17.28 |

| | | | |

| **Total Standard Cost** | | | **$41.01** |

These standard costs are calculated by multiplying the standard quantities of materials and labor by their respective standard prices/rates and then summing up the costs for each component.

Keep in mind that these calculations are based on the information provided in the problem statement. If you have any further questions or if you need more assistance, feel free to ask.