Question
Zoro Manufacturing Company manufacturers wooden picture frames. Each piece of wood yields 15 frames. Each piece of wood costs $18.75. The direct labor charge is $13.50 per hour. Sixty-five frames can be produced each hour. To the nearest tenth of a cent, what is the prime cost of manufacturing the picture frame?
Answers
not sure just what the prime cost means, but the cost per frame is the sum of the cost of the wood and the cost of the labor:
18.75/15 + 13.50/65
18.75/15 + 13.50/65
1.46
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