| Exercise 22 1 |
 |
Stanton Company is planning to produce1,900units of product in 2012. Each unit requires2.30pounds of materials at $7.90per pound and a half hour of labor at $15.20per hour. The overhead rate is60% 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 | $ |