The Snowman Company Makes Mugs for Which the Following Standards

Multiple Choice

The Snowman Company makes mugs for which the following standards have been developed: Production of 400 mugs was expected in July,but 440 mugs were actually completed.Direct materials purchased and used were 2,100 ounces at an actual price of $2.20 per ounce.Direct labor cost for the month was $5,310,and the actual pay per hour was $10.00.What is the standard direct material cost for each mug produced?

A) $9.00
B) $10.00
C) $13.20
D) $32.00