A-LevelAccountingTraditional costing methods9706/12 · Feb/Mar 2024 · Q241 Mark

The direct materials cost of a batch of soft drinks is $10 000 for 50 000 cans. 60 direct labour hours are required at a cost of $40 per labour hour. Overheads are absorbed at 250% of the cost of direct labour. What is the cost per soft drink can to the nearest dollar?

A$0.20

B$0.37

C$0.44

D$1.04

✓ Correct answer

B: $0.37

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Topic: Traditional costing methods, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, Feb/Mar 2024 Paper 1 Variant 2, question 24.

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