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Dahl Company, a clothing manufacturer, uses a standard costing system. Each unit of a finished...

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Accounting

Dahl Company, a clothing manufacturer, uses a standard costing system. Each unit of a finished product contains 2 metres of cloth. However, there is unavoidable waste of 20%, calculated on input quantities, when the cloth is cut for assembly. The cost of the cloth is $3 per metre. The standard direct material cost for cloth per unit of finished product is? A. $4.80. B. $6.00. C. $7.20. D. $7.50.

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