Question

Job 434 was recently completed. The following data have been recorded on its job cost sheet:______.

Direct materials $ 41,000
Direct labor-hours 620 labor-hours
Direct labor wage rate $ 13 per labor-hour
Machine-hours 390 machine-hours
Number of units completed 2,000 units
The company applies manufacturing overhead on the basis of machine-hours. The predetermined overhead rate is $10 per machine-hour.
Required:
Compute the unit product cost that would appear on the job cost sheet for this job. (Round your answer to 2 decimal places. Omit the "$" sign in your response.)
Unit product cost $

Answer 1

Answer: $26.48

Step-by-step explanation:

The total cost of producing 2,000 units of Job 434 is;

= Direct materials + Direct labor cost + Manufacturing overhead cost

= 41,000 + (620 hours * 13 ) + ( 10 * 390 hours)

= $‭52,960‬

Unit product cost:

= total cost/ no. of units

= 52,960/ 2,000

= $26.48