Dozen Bakery Makes Cupcakes and Cookies

question 21

Multiple Choice

Dozen Bakery makes cupcakes and cookies. Dozen gathered the following information for the current year regarding its use of flour and butter (flour is a direct material for cupcakes and butter is a direct material for cookies) : What is the standard direct material price per pound for the butter in the cookies?

• A)$6.40/lb.
• B)$2.80/lb.
• C)$2.50/lb.
• D)$1.80/lb.

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Definitions:

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