Woodfree Plastics manufactures custom park furniture and signage from recycled plastics (primarily shredded milk jugs.) Many of
Question:
1) Virgin materials (non-recycled);
2) Recycled-content materials. Woodfree Plastics also keeps track of the pounds of each type of direct material so that the final recycled-content percentage for the job can be reported to the customer. The company also reports on the percentage of recycled content as a total of plastics used each month on its own internal reporting system to help encourage managers to use recycled-content whenever possible.
Woodfree Plastics uses a predetermined manufacturing overhead rate of $15 per direct labor hour. Here is a summary of the materials and labor used on a recent job for Summit County:
Description Quantity Cost
Virgin materials.....................250 pounds...............$ 3.50 per pound
Recycled-content materials........300 pounds...............$ 3.00 per pound
Direct labor..............................12 hours..................$18.00 per hour
Requirements
1. Calculate the total cost of the Summit County job.
2. Calculate the percentage of recycled-content used in the Summit County job (using pounds.) If items purchased by Summit County are required by county charter to contain at least 50% recycled-content, does the job meet that requirement?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Question Posted: