Using the Following Information,compute the Standard Unit Cost of a 20

question 71

Multiple Choice

Using the following information,compute the standard unit cost of a 20 pound bag of dog food: $\begin{array}{ll}\text { Direct materials quantity standard } & 20 \text { pounds per unit } \\\text { Direct materials price standard } & \$ 0.02 \text { per pound } \\\text { Direct labor time standard } & 0.1 \text { hour per unit } \\\text { Direct labor rate standard } & \$ 11.60 \text { per hour } \\\text { Variable overhead rate standard } & \$ 2.50 \text { per machine hou } \\\text { Fixed overhead rate standard } & \$ 1.50 \text { per machine hou } \\\text { Machine hour standard } & 0.25 \text { hours per unit }\end{array}$

• A) $2.56
• B) $2.22
• C) $2.16
• D) $2.81

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Definitions:

Outside Authority

A source of influence or control that is external to oneself or one's immediate environment.

Authoritarian

A governing or leadership style characterized by absolute or blind obedience to authority, often at the expense of personal freedom.

Right Decisions

Choices or judgments that lead to the most positive outcome based on ethical, practical, or personal considerations.

Informal Child Care

Child care that is provided by relatives, friends, or neighbors, not through formal settings such as daycare centers or professional caregivers.