Standard Direct Materials Cost per Unit from Variance Data

The following data relating to direct materials cost for October of the current year are taken from the records of Good Clean Fun Inc, a manufacturer of

organic toys:

Quantity of direct materials used

Actual unit price of direct materials

Units of finished product manufactured

$$4\mathrm{.}80$ per lb$.$

Standard direct materials per unit of finished product

$1,390$ units

Direct materials quantity variance$-$unfavorable

$4$ lbs$.$

Direct materials price variance$-$favorable

Determine the standard direct materials cost per unit of finished product, assuming that there was no inventory of work in process at either the beginning

or the end of the month. If required, round your standard cost per unit answer to two decimal places.

Product finished

units

Standard finished product for direct materials used

units

Deficiency of finished product for materials used

units

Standard cost for direct materials

per unit