1. Cost of Goods Sold Budget

   Delaware Chemical Company uses oil to produce two types of plastic products, P1 and P2. Delaware An accounting device used to plan and control resources of operational departments and divisions.budgeted 31,300 barrels of oil for purchase in June for $76 per barrel. Direct labor budgeted in the chemical process was $261,700 for June. Factory overhead was budgeted at $428,200 during June. The inventories on June 1 were estimated to be:

   Oil	$18,300
   P1	12,300
   P2	10,500
   Work in process	15,200

   The desired inventories on June 30 were:

   Oil	$20,200
   P1	11,300
   P2	9,900
   Work in process	15,700

   Use the preceding information to prepare a cost of goods sold budget for June. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

   Delaware Chemical Company
   Cost of Goods Sold Budget
   For the Month Ending June 30
   Cost of direct materials available for use Direct labor Factory overhead Finished goods inventory, June 1 Total work in process during period			$
   Direct labor Factory overhead Work in process inventory, June 1 Work in process inventory, June 30 Total work in process during period		$
   Direct materials:
   Cost of direct materials available for use Direct labor Direct materials inventory, June 1 Direct materials inventory, June 30 Total work in process during period	$
   Cost of goods sold Direct labor Direct materials purchases Finished goods inventory, June 30 Total work in process during period
   Cost of direct materials available for use Cost of finished goods available for sale Cost of goods manufactured Cost of goods sold Total manufacturing costs	$
   Direct labor Direct materials inventory, June 30 Factory overhead Finished goods inventory, June 1 Total work in process during period
   Cost of direct materials placed in production Cost of goods sold Finished goods inventory, June 1 Finished goods inventory, June 30 Work in process inventory, June 30	$
   Cost of goods sold Direct labor Total work in process during period Work in process inventory, June 1 Work in process inventory, June 30
   Direct materials inventory, June 1 Direct materials inventory, June 30 Factory overhead Total work in process during period Work in process inventory, June 30
   Cost of direct materials available for use Cost of finished goods available for sale Cost of goods sold Cost of goods manufactured Total manufacturing costs
   Cost of direct materials available for use Cost of finished goods available for sale Cost of goods manufactured Cost of goods sold Total work in process during the period		$
   Direct labor Direct materials inventory, June 30 Factory overhead Finished goods inventory, June 1 Work in process inventory, June 30
   Cost of direct materials available for use Cost of finished goods available for sale Cost of goods manufactured Cost of goods sold Total work in process during the period
   Cost of direct materials available for use Cost of finished goods available for sale Cost of goods manufactured Cost of goods sold Total work in process during the period			$
   Direct labor Direct materials inventory, June 30 Factory overhead Finished goods inventory, June 30 Work in process inventory, June 30			$
   Cost of direct materials available for use Cost of finished goods available for sale Cost of goods manufactured Cost of goods sold Total work in process during the period			$

Standard Direct Materials Cost per Unit from Variance Data

The following data relating to direct materials cost for October of the current year are taken from the records of Good Clean Fun Inc., a manufacturer of organic toys:

Quantity of direct materials used	4,300 lbs.
Actual unit price of direct materials	$5.3 per lb.
Units of finished product manufactured	2,060 units
Standard direct materials per unit of finished product	2 lbs.
Direct materials quantity varianceunfavorable	$990
Direct materials price variancefavorable	$860

Determine the standard direct materials cost per unit of finished product, assuming that there was no inventory of work in process at either the beginning or the end of the month. If required, round your standard cost per unit answer to two decimal places.

Product finished		units
Standard finished product for direct materials used		units
Deficiency of finished product for materials used		units
Standard cost for direct materials	$	per unit