Jezebel,Inc.completed Job 12 and several other jobs in the last week.The cost details of Job 12 are shown below. $$\begin{array} { | l | r | }
\hline \text { Direct labor cost } & \$ 820 \
\hline \text { Direct materials cost } & \$ 120 \
\hline \text { Machine hours } & 6 \text { hours } \
\hline \text { Direct labor hours } & 17 \text { hours } \
\hline \text { Predetermined overhead allocation rate per machine hour } & \$ 85 \
\hline \text { Number of units of finished product } & 22 \text { units } \
\hline
\end{array}$$ What is the cost per unit of finished product produced under Job 12? (Round your answer to the nearest cent. )

Question

Jezebel,Inc.completed Job 12 and several other jobs in the last week.The cost details of Job 12 are shown below. $$\begin{array} { | l | r | } 
\hline \text { Direct labor cost } & \$ 820 \
\hline \text { Direct materials cost } & \$ 120 \
\hline \text { Machine hours } & 6 \text { hours } \
\hline \text { Direct labor hours } & 17 \text { hours } \
\hline \text { Predetermined overhead allocation rate per machine hour } & \$ 85 \
\hline \text { Number of units of finished product } & 22 \text { units } \
\hline
\end{array}$$ What is the cost per unit of finished product produced under Job 12? (Round your answer to the nearest cent. )

Quizplus · Accepted Answer

To find the cost per unit, calculate the total cost of Job 12 and divide by the number of units. Total cost = Direct labor cost + Direct materials cost + Overhead cost. Overhead cost = Machine hours * Predetermined overhead rate = 6 * $85 = $510. Total cost = $820 + $120 + $510 = $1450. Cost per unit = $1450 / 22 units = $65.91.

Jezebel,Inc What Is the Cost Per Unit of Finished Product Produced