Answer:
The correct answer is D.
Explanation:
Giving the following information:
direct materials totaled $4,400
direct labor, $5,600
factory overhead, $2,400.
A total of 1,000 units were produced
First, we need to calculate the total cost:
Total cost= direct material + direct labor + allocated overhead
TC= 4,400 + 5,600 + 2,400= $12,400
Now, we can calculate the unitary cost:
Unitary cost= 12,400/1,000= $12.4
Answer:
d. $ 12.40
Explanation:
Computation of Per Unit Cost
Direct materials $ 4,400
Direct labor $ 5,600
Factory Overhead $ 2,400
Total manufacturing costs $ 12,400
Units produced 1000 units
Cost per unit = Total manufacturing costs/ No of Units produced
Cost per unit = $ 12,400 / 1000 = $ 12.40 per unit
