ACC- 561 – Stanton Company Problem



Stanton Company is planning to produce 1,000 units of product in 2012. Each unit requires 1.40 pounds of materials at $7.90 per pound and a half-hour of labor at $12.40 per hour. The overhead rate is 90% of direct labor.
(a)Compute the budgeted amounts for 2012 for direct materials to be used, direct labor, and applied overhead.

Direct materials $”>
Direct labor $”>
Overhead $”>

(b)Compute the standard cost of one unit of product.(Round answer to 2 decimal places, e.g. 2.75.)

Standard cost $”>


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