Rendolin Inc. has developed the following budget data based on 100,000 direct labor hours (50,000 units @ 2 direct labor hours each).

During the last period, the company actually produced 48,000 units.
Actual costs were:

1. Complete the following cost sheet for Rendolin Inc. based on the budgeted data, above. (You would not use actual data until you started computing variances.)
Type letters A-D each on a line in the answer box with your final answer next to the letter.
You can show work below where you answer these and #2.

2. How much should it cost (for materials and labor combined) to produce 48,000 units? Hint: "D" above is what it should cost for 1 unit. See if your answer for D makes sense given the budgeted cost for 50,000 unit

Transcribed Image Text:

Budgeted cost at 50,000 units Direct materials S720,000 Direct labor$1,200,000 Total S1,920,000 Actual cost at 48,000 units materials Direct (230,400 grams purchased and used) Direct labor (100,000 hours) Total S737,280 S1,150,000 S1,887,280 Standard QuantitylStandard Price Standard Cost per Unit Direct materials B. ??? grams S3.00 per gram 27 Direct labor 2 hours Total C. $M per hour $ 24 799 D. S??1? 772