The prime cost details to the manufacture of prosuct X are as follows:
Direct material 1.3 kilogram’s (kg) at $6.20 per kg
Direct labour 0.75 hours at $8.00 per hour
Variable overheads are absorbed at a rate of $2.2 per direct labour hour. Fixed overheads, totaling $67200 per period, absorbed at a rate per unit of output based on the manufacture 14000 per period.
What is the total cost per unit of product X?
What’s your opinion?
Can you please help me out? How to solve this?
Give it a go first. Material, labour and variable overheads are easy. Fixed overheads are absorbed at the predetermined as set by the budget.
I want solution
If you won’try, I won’t.
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