Jezebel,Inc.completed Job 12 and several other jobs in the last week.The cost details of Job 12 are shown below. $$\begin{array} { | l | r | }
\hline \text { Direct labor cost } & \$ 800 \
\hline \text { Direct materials cost } & \$ 100 \
\hline \text { Machine hours } & 8 \text { hours } \
\hline \text { Direct labor hours } & 17 \text { hours } \
\hline \text { Predetermined overhead allocation rate per machine hour } & \$ 85 \
\hline \text { Number of units of finished product } & 27 \text { units } \
\hline
\end{array}$$
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. $$\begin{array} { | l | r | } 
\hline \text { Direct labor cost } & \$ 800 \
\hline \text { Direct materials cost } & \$ 100 \
\hline \text { Machine hours } & 8 \text { hours } \
\hline \text { Direct labor hours } & 17 \text { hours } \
\hline \text { Predetermined overhead allocation rate per machine hour } & \$ 85 \
\hline \text { Number of units of finished product } & 27 \text { units } \
\hline
\end{array}$$
 What is the cost per unit of finished product produced under Job 12? (Round your answer to the nearest cent.)

Quizplus · Accepted Answer

To calculate the cost per unit of the finished product for Job 12, first, we need to find the total cost of the job. This includes the direct labor cost, direct materials cost, and allocated overhead. The allocated overhead is calculated by multiplying the machine hours by the predetermined overhead allocation rate per machine hour. Total cost = Direct labor cost + Direct materials cost + (Machine hours * Predetermined overhead allocation rate per machine hour)= $800 + $100 + (8 hours * $85)= $800 + $100 + $680= $1580Next, we divide the total cost by the number of units of finished product to find the cost per unit.Cost per unit = Total cost / Number of units of finished product= $1580 / 27 units= $58.52 (rounded to the nearest cent)

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