Jetison Industries makes batches of custom novelty items for companies to give away at career fairs.Job X24 for Xcel Corporation consists of 2,000 pens that light up inside the pen base when you write.In addition, the name and address of Xcel Corp.is printed on the pens.Direct material for these pens amount to $1,500; direct labor is $2,800; and manufacturing overhead is $1,600.Based on this information, what is the cost per pen for Job X24?
A)$1.40
B)$2.95
C)$3.39
D)$3.95
E)$4.40

Question

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The Answer of Jetison Industries makes batches of custom novelty items for companies to give away at career fairs.Job X24 for Xcel Corporation consists of 2,000 pens that light up inside the pen base when you write.In addition, the name and address of Xcel Corp.is printed on the pens.Direct material for these pens amount to $1,500; direct labor is $2,800; and manufacturing overhead is $1,600.Based on this information, what is the cost per pen for Job X24?
A)$1.40
B)$2.95
C)$3.39
D)$3.95
E)$4.40

Jetison Industries Makes Batches of Custom Novelty Items for Companies