Knowledge Check $01$

The standard quantity per unit defines the $\_\_\_\_\_\_\_\_\_$blank.

multiple choice

price that should be paid for each unit of direct materials.

total cost of direct materials that should be used for each unit of finished product.

amount of direct materials that should be used for each unit of finished product including an

allowance for normal inefficiencies, such as scrap and spoilage.

amount of direct labor$-$hours that should be used to produce one unit of finished goods.