From the information given below, prepare a standard cost card extract for one unit and enter on the… 1 answer below »

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From the information given below, prepare a standard cost card extract for one unit and enter on the standard cost card the costs to show subtotals for:

(a) prime cost;

(b) variable production cost.

The following data is given for the standard details for one unit:

Direct materials: 40 square metres @ £6.48/sq m

Direct wages:

Bonding department–48 hours @ £12.50/hour

Finishing department–30 hours @ £11.90/hour

Budgeted costs and labour hours per annum:

 

£

hours

Variable production overhead:

 

 

Bonding department

375,000

500,000

Finishing department

150,000

300,000

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