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Stefani company has gathered the following information about its product. direct materials: each unit of product contains 4.5 pounds of materials. the average waste and spoilage per unit produced under normal conditions is 0.5 pounds. materials cost $ 5 per pound, but stefani always takes the 2 % cash discount all of its suppliers offer. freight costs average $ 0.25 per pound. direct labor. each unit requires 2 hours of labor. setup, cleanup, and downtime average 0.4 hours per unit. the average hourly pay rate of stefani’s employees is $ 12 . payroll taxes and fringe benefits are an additional $ 3 per hour. manufacturing overhead. overhead is applied at a rate of $ 7 per direct labor hour. compute stefani’s total standard cost per unit.
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Stefani company has gathered the following information about its product. direct materials: each un...
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