Figure 5 - 1 The King Corporation manufactures custom-made furniture.The following data pertains to Job X4A:
Factory overhead rate is $22.50 per machine hour.Job X4A consists of 500 units.
-
Refer to Figure 5-1.One-half of Job X4A was sold for $10,000.What is the cost per unit for Job X4A?

Question

Figure 5 - 1 The King Corporation manufactures custom-made furniture.The following data pertains to Job X4A:
 Factory overhead rate is $22.50 per machine hour.Job X4A consists of 500 units.
-
Refer to Figure 5-1.One-half of Job X4A was sold for $10,000.What is the cost per unit for Job X4A?

Quizplus · Accepted Answer

The total cost of Job X4A is $21,000 (10,000 x 2). The cost per unit is $21,000 / 660 units = $31.50.

Figure 5 - 1 the King Corporation Manufactures Custom-Made Furniture