14.Decision Making Mystic Bottling Company bottles popular beverages in the Bott

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14.Decision Making Mystic Bottling Company bottles popular beverages in the Bottling Department. The beverages are produced by blending concentrate with water and sugar. The concentrate is purchased from a concentrate producer. The concentrate producer sets higher prices for the more popular concentrate flavors. A simplified Bottling Department cost of production report separating the cost of bottling the four flavors follows: A B C D E 1 Orange Cola Lemon-Lime Root Beer 2 Concentrate $ 4,625 $129,000 $ 105,000 $ 7,600 3 Water 1,250 30,000 25,000 2,000 4 Sugar 3,000 72,000 60,000 4,800 5 Bottles 5,500 132,000 110,000 8,800 6 Flavor changeover 3,000 4,800 4,000 10,000 7 Conversion cost 1,750 24,000 20,000 2,800 8 Total cost transferred to finished goods $19,125 $391,800 $324,000 $36,000 9 Number of cases 2,500 60,000 50,000 4,000 10 Beginning and ending work in process inventories are negligible, so they are omitted from the cost of production report. The flavor changeover cost represents the cost of cleaning the bottling machines between production runs of different flavors. Determine the cost per case for each of the four flavors. Round your answers to two decimal places. Orange $ per case Cola $ per case Lemon-Lime $ per case Root Beer $ per case

Decision Making Mystic Bottling Company bottles popular beverages in the Bottling Department. The beverages are produced by blending concentrate with water and sugar. The concentrate is purchased from a concentrate producer. The concentrate producer sets higher prices for the more popular concentrate flavors. A simplified Bottling Department cost of production report separating the cost of bottling the four flavors follows: Orange Cola Lemon-Lime Root Beer 2 Concentrate 3 Water 4 Sugar 5 Bottles 6 Flavor changeover 7 Conversion cost 8 Total cost transferred to finished goods 9 Number of cases 1,250 3,000 5,500 3,000 1,750 $19,125 2,500 $4,625 $129,000 30,000 72,000 132,000 4,800 24,000 $105,000 25,000 60,000 110,000 4,000 20,000 $324,000 50,000 $7,600 2,000 4,800 8,800 10,000 2,800 $36,000 4,000 60,000 10 Beginning and ending work in process inventories are negligible, so they are omitted from the cost of production report. The flavor changeover cost represents the cost of cleaning the bottling machines between production runs of different flavors Determine the cost per case for each of the four flavors. Round your answers to two decimal places Orange Cola Lemon-Lime$ Root Beer per case per case per case per case

Explanation / Answer

orange Cola Lemon Lime Root Beer Total Cost Transfered to finished goods 19125 391800 324000 36000 No OF Cases 2500 60000 50000 4000 Cost Per Case =Total Csot/No Cases 7.65 6.53 6.48 9

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