Homework Answers
| For 9000 Unit | per unit cost | For 6000 Units | ||
| Direct Material | 10,000 | 1.111111111 | 6666.666667 | |
| Direct Labour | 19,000 | 2.111111111 | 12666.66667 | |
| Manufacturing Ovehead | 33,000 | 3.666666667 | 22000 | |
| WIP | ||||
| Beginning | 6,000 | 0.666666667 | 4000 | |
| Ending | -7,000 | -0.77777778 | -4666.666667 | |
| Cost of good sold | 61,000 | 6.777777778 |
40666.66667 |
Cost of good sold = Direct material +direct labour
+manufacturing overhead + work in progress at beginning - work in
progress at the end
The per unit cost is 6.77
So for 6000 units , the COGS = 6.777777* 6000 =40667
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