Staples - Johnstown 590 Galleria Dr, Johnstown PA 15904 Phone Number: (814) 262-9096
The distribution of manufacturing overhead costs to individual product unit, or production batches generally, requires a base or a cost driver, to which reference a rate, known as material burden rate applies. Material burden is the amount of manufacturing overhead costs that a unit of the base carries.
The Raw Material Cost/Unit is the sum-product of the raw material costs (F18:F22) and the contents of (F33:F37). This value is subtracted from the revenue per unit to obtain the operating profit column of the product portion of the worksheet (cell J3).olumn K shows the number of units of each raw material used by the operation. The measurement dimension may differ between raw materials. In the example, the kit, part 1, and part 2 raw materials are measured in units. Coat refers to a material that covers the product in operation 6.