Global Mart is analyzing its inventory costs using various accounting methods:

• Requirements:
  • Calculate the Standard Cost per unit for a new product line:
    • Direct Materials: $20
    • Direct Labor: $10
    • Manufacturing Overhead: $5
• Implement Marginal Cost Accounting to assess the cost impact of increasing inventory levels.
• Apply Activity-Based Costing to allocate warehouse and logistics costs.
• Discuss how each costing method influences inventory turnover and profitability at Global Mart.

Standard Cost Calculation:

Category	Amount per Unit ($)
Direct Materials	$20
Direct Labor	$10
Manufacturing Overhead	$5
Total Standard Cost per Unit	$35