Janitor Supply produces an industrial cleaning powder that requires 40 grams of material at $0.10 per gram and 0.25 direct labor hours at $12.00 per hour. Overhead is applied at the rate of $18 per direct labor hour. What is the total standard cost for one unit of product that would appear on a standard cost card?
A. $7.50.
B. $7.00.
C. $11.50.
D. $8.50.
E. $25.00.
Answer: C
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