Ewing Corporation's Controller Has Developed the Cost and Usage Data

question 17

Multiple Choice

Ewing Corporation's controller has developed the cost and usage data listed below in preparation of standard unit cost information for the coming year. $\begin{array}{lr} \text { Direct materials quantity standard } & 3 \text { pounds per product } \\\text { Direct labor time standard } & 5 \text { hours per product } \\\text { Direct materials price standard } & \$ 10 \text { per pound } \\\text { Direct labor rate standard } & \$ 9 \text { per hour } \\\text { Standard variable overhead rate } & \$ 5 \text { per labor hour } \\\text { Standard fixed overhead rate } & \$ 10 \text { per labor hour }\end{array}$
The total standard unit cost is

• A) $105.
• B) $150.
• C) $260.
• D) $34.

---

Definitions:

Collateral

Assets or property pledged by a borrower to secure a loan or other credit, and subject to seizure on default.

Tender Offer

A proposal by an entity to purchase shares from shareholders of another company, usually at a premium to the market price.

Target's Shares

Equity stakes in the Target Corporation, a publicly traded company known for its retail operations.

Price

Exchange value of a good or service.