Jody Jewelry manufactures jewelry.In October Jody is planning to make 500 rings, 400 bracelets, and 210 pendants.Each ring requires 3 ounces of gold and 2 semi-precious stones.Each bracelet requires 4 ounces of gold and 4 semi-precious stones.Each pendant requires 3.5 ounces of gold and 1 semi-precious stone.The company can purchase the 10k gold it uses in its manufacturing for $215 an ounce, and can purchase a lot of 100 semi-precious stones for $3,080.What is the standard cost for direct materials per bracelet?

Question

Quizplus · Accepted Answer

To calculate the standard cost for direct materials per bracelet, we need to consider the cost of gold and semi-precious stones required for one bracelet. Each bracelet requires 4 ounces of gold and 4 semi-precious stones. The cost of gold per ounce is $215, so the cost of gold for one bracelet is 4 * $215 = $860. The cost for 100 semi-precious stones is $3,080, so the cost per stone is $3,080 / 100 = $30.80. Therefore, the cost of 4 stones is 4 * $30.80 = $123.20. Adding the cost of gold and stones together gives $860 + $123.20 = $983.20.

Jody Jewelry Manufactures Jewelry