a packaging employee making $22 per hour can package 40 items during that hour. the direct material cost is…

a packaging employee making $22 per hour can package 40 items during that hour. the direct material cost is $0.56 per item. what is the total direct cost of 1 item? $? round to the nearest thousandth.

a packaging employee making $22 per hour can package 40 items during that hour. the direct material cost is $0.56 per item. what is the total direct cost of 1 item? $? round to the nearest thousandth.

Answer

Answer:

$1.110$

Explanation:

Step1: Calculate labor cost per item

The employee makes $22$ per hour and packages 40 items per hour. So labor cost per item is $\frac{22}{40}= 0.55$.

Step2: Calculate total direct - cost per item

Direct material cost per item is $0.56$. Total direct cost per item = labor cost per item+direct material cost per item. So it is $0.55 + 0.56=1.11$. Rounding to the nearest thousandth gives $1.110$.