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BE25-2 Asaki Company accumulates the following data concerning raw materials in making one gallon of finished product

BE25-2 Asaki Company accumulates the following data concerning raw materials in making one gallon of finished product
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Solution Guide / Answer Key:

ACCOUNTING

Financial Accounting

BE25-2 Asaki Company accumulates the following data concerning raw materials in making one gallon of finished product:
(1) Price-net purchase price $2.20, freight-in $0.20 and receiving and handling $0.10.
(2) Quantity-required materials 2.6 pounds, allowance for waste and spoilage 0.4 pounds.

Compute the following.
Standard direct materials price per gallon.
Standard direct materials quantity per gallon.
Total standard materials cost per gallon.

(Round items (a) and (c) to 2 decimal places, e.g. 10.50.)

 

FILE: MS WORD

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