On March 1, Job 10 had a beginning balance of $500.During March, direct materials of $800 and direct labor of $300 were added to the job.Overhead is applied to production at a rate of 40% of direct labor.There are 4 units in Job 10.
What is the unit cost?
A) $312
B) $430
C) $492
D) $850
E) None of these.

Question

On March 1, Job 10 had a beginning balance of $500.During March, direct materials of $800 and direct labor of $300 were added to the job.Overhead is applied to production at a rate of 40% of direct labor.There are 4 units in Job 10.  
What is the unit cost?
A) $312
B) $430
C) $492
D) $850
E) None of these.

Quizplus · Accepted Answer

11ea8a4c_48f0_a778_a0e6_ad3eaad28f3c_TB5550_00 Unit cost = $1,720 / 4 units = $430

On March 1, Job 10 Had a Beginning Balance of $500.During