Use the information below to answer the following question(s) .
The following data for a pottery company pertain to the production of 2,000 clay pots during July.
Direct Materials (all materials purchased were used) :
Standard cost: $6.00 per kilogram of clay
Total actual cost: $11,200
Standard cost allowed for units produced was $12,000
Materials efficiency variance was $240 unfavourable
Direct Manufacturing Labour:
Standard cost is 2 pots per hour at $24.00 per hour
Actual cost per hour was $24.50
Actual labour was 972 hours
-What is the standard direct material amount per pot?
A) 1.00 kilogram
B) 1.88 kilograms
C) 2.12 kilograms
D) 3.00 kilograms
Correct Answer:
Verified
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