Cost of direct materials per unit


Nextel Company showed the following on its direct materials budget for June:

Units to be produced 50,000
Total pounds needed for production 4,000
Total pounds of materials to be purchased 5,000

The materials cost $2 per pound. How much is the cost of direct materials per unit?

a. $0.16

b. $25

c. $20

d. $0.20

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Cost Accounting: Cost of direct materials per unit
Reference No:- TGS066889

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