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:

Line Item DescriptionValueQuantity of direct materials used$6,700$ lbs$.$Actual unit price of direct materials$$5\mathrm{.}70$ per lb$.$Units of finished product manufactured$1,605$ unitsStandard direct materials per unit of finished product$4$ lbs$.$Direct materials quantity variance$$unfavorable$$1,652$Direct materials price variance$$favorable$$1,340$

This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below.

Open spreadsheet

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.

Line Item DescriptionUnitProduct finishedfill in the blank $2$ units$$Standard finished product for direct materials usedfill in the blank $3$ units$$Deficiency of finished product for materials usedfill in the blank $4$ units$$Standard cost for direct materials$fill in the blank $5$ per unit