Mickley company’s plantwide predetermined overhead rate is $23.00 per direct labor-hour and its direct labor wage rate is $10.00 per hour. the following information pertains to job a-500: direct materials $ 200 direct labor $ 50 required: 1. what is the total manufacturing cost assigned to job a-500? 2. if job a-500 consists of 70 units, what is the unit product cost for this job? (round your answer to 2 decimal places.)

a. The total manufacturing cost assigned to Job A-500 is $365

b. The unit product cost for Job A-500 is $5.21

Explanation:

a. The computation of the total manufacturing cost is shown below:

= Direct materials cost + direct labor cost + overhead cost

where,

Overhead cost = Predetermined overhead rate × (Direct labor ÷  direct labor wage rate)

= $23 × ($50 ÷ 10)

= $23 × 5

= $115

So,

= $200 + $50 + $115

=$365

b. The formula to be used for calculating the unit product cost which is shown below

= Total manufacturing cost ÷ number of units produced  

=  $365 ÷ 70 units

= $5.21 per unit of product cost

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