the company manufactured 3,400 helmets, using 2,278 kilograms of plastic. The plastic cost the company $17,313. According to the standard cost card, each helmet should require 0.62 kilograms of plastic, at a cost of $8.00 per kilogram. Required: 1. What is the standard quantity of kilograms of plastic (SQ) that is allowed to make 3,400 helmets? 2. What is the standard materials cost allowed (SQ Γ— SP) to make 3,400 helmets?

Accepted Solution

Answer:1) 2,108 kilogram2) $16,864Step-by-step explanation:Data provided in the question:Number of helmets manufactured = 3,400Plastic used for 3,400 helmets = 2,278 kilogramsPlastic required by each helmet = 0.62 kilogramsCost per kilogram of plastic = $8.00Now,1) standard quantity of kilograms of plastic = Number of helmets Γ— Plastic required by each helmet = 3,400 Γ— 0.62= 2,108 kilogram2) Standard cost allowed for actual output= Standard quantity of kilograms of plastic Γ— Cost per kilogram of plastic= 2,108 Γ— $8.00 = $16,864