Standard Material Cost Per Kg of Raw Material Is $5

question 119

Multiple Choice

Standard material cost per kg of raw material is $5.Standard material allowed per unit is 2 Kg.Actual material used per unit is 2.5 Kg.Actual cost per kg is $4.5.What is the standard cost per output unit?

• A) $9
• B) $11.25
• C) $10
• D) $12.5

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Definitions:

Idle Time

Periods when resources, such as machinery or employees, are available but not in use due to a lack of work or inefficient scheduling.

Kanbans

Signaling systems used in just-in-time (JIT) production processes to regulate the flow of materials between different stages of production.

Andons

Visual feedback systems used in manufacturing to alert about any status changes in production, such as issues or slowdowns.

Visual Workplace

A work environment where information about processes and standards is communicated through visual means to improve understanding and efficiency.