Sport Runner, Inc., produces a complete line of men's running apparel. The nylon short set is a very popular item in the southern states. During June, the company's records revealed the following information about the production of the nylon shorts set:
$$\begin{array} { | l | l | l }
\text { Standards: } & \text { Direct materials } & 4 \text { yards @ \$2.50 per yard } \
& \text { Direct labor } & 1.5 \text { hour @ } \$ 9 \text { per hour } \
&\text { Overhead: } & \
& \text { Variable } & \$ 5.00 \text { per direct labor hour } \
&\text { Fixed } & \$ 5.50 \text { per direct labor hour }
\end{array}$$ Compute the standard unit cost for a nylon shorts set.

Question

Sport Runner, Inc., produces a complete line of men's running apparel. The nylon short set is a very popular item in the southern states. During June, the company's records revealed the following information about the production of the nylon shorts set:
 $$\begin{array} { | l | l | l } 
\text { Standards: } & \text { Direct materials } & 4 \text { yards @ \$2.50 per yard } \
& \text { Direct labor } & 1.5 \text { hour @ } \$ 9 \text { per hour } \
&\text { Overhead: } & \
& \text { Variable } & \$ 5.00 \text { per direct labor hour } \
&\text { Fixed } & \$ 5.50 \text { per direct labor hour }
\end{array}$$ Compute the standard unit cost for a nylon shorts set.

Quizplus · Accepted Answer

The Answer of Sport Runner, Inc., produces a complete line of men's running apparel. The nylon short set is a very popular item in the southern states. During June, the company's records revealed the following information about the production of the nylon shorts set:
 $$\begin{array} { | l | l | l } 
\text { Standards: } & \text { Direct materials } & 4 \text { yards @ \$2.50 per yard } \
& \text { Direct labor } & 1.5 \text { hour @ } \$ 9 \text { per hour } \
&\text { Overhead: } & \
& \text { Variable } & \$ 5.00 \text { per direct labor hour } \
&\text { Fixed } & \$ 5.50 \text { per direct labor hour }
\end{array}$$ Compute the standard unit cost for a nylon shorts set.

Sport Runner, Inc Compute the Standard Unit Cost for a Nylon Shorts Set