Question

The following data for a pottery company pertain to the production of 2,000 clay pots during...

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) 3.00 kilograms

c) 2.12 kilograms

d) 4.00 kilograms

e) 1.88 kilograms

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