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Riyyad Co. produces its only product in a highly automated process, expected monthly production is 50,000 units. The required direct material costs $0.85 per unit. Manufacturing overhead costs are $75,000 per month and are allocated based on units of production.
-What is the budgeted manufacturing overhead rate?
A) $1.00 per unit
B) $1.50 per unit
C) $0.85 per unit
D) $0.67 per unit

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The Answer of Use the following to answer questions:
Riyyad Co. produces its only product in a highly automated process, expected monthly production is 50,000 units. The required direct material costs $0.85 per unit. Manufacturing overhead costs are $75,000 per month and are allocated based on units of production.
-What is the budgeted manufacturing overhead rate?
A) $1.00 per unit
B) $1.50 per unit
C) $0.85 per unit
D) $0.67 per unit

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