Parsons Company is planning to produce 2,800 units of product in 2017. Each unit requires 1. 20 pounds of materials at $5. 60 per pound and a half-hour of labor at $12. 00 per hour. The overhead rate is 70% of direct labor. (a) Compute the budgeted amounts for 2017 for direct materials to be used, direct labor, and applied overhead. Direct materials $ Direct labor $ Overhead $ (b) Compute the standard cost of one unit of product. (Round answer to 2 decimal places, e. G. 2. 75. ) Standard cost $ Click if you would like to Show Work for this question: Open Show Work

Costs that cannot be traced back to a specific cost object are known as indirect costs. Indirect costs are similar to direct costs in that they can be either fixed or variable. Expenses for administration, personnel, and security are examples of indirect costs. These are expenses that have nothing to do with manufacturing. While some overhead expenses may be considered indirect costs, other overhead expenses can be linked directly to a project and are thus considered direct costs. Indirect costs can be divided into two categories. The first are the indirect fixed costs, which are constant for a given project or business, such as labor transportation to the job site and construction of makeshift roads. The second category is made up of indirect costs that are repeated for a specific business, such as paying salaries or keeping records up to date.

To learn more about indirect costs, visit:

https://brainly.com/question/13397603

#SPJ4