7. Hank Itzek manufactures and sells homemade wine, and he wants to develop a standard cost per gallon. The following are required for production of a 50-gallon batch.

2,940 ounces of grape concentrate at $0.04 per ounce

54 pounds of granulated sugar at $0.50 per pound

60 lemons at $0.80 each

50 yeast tablets at $0.20 each

150 nutrient tablets at $0.16 each

3,000 ounces of water at $0.005 per ounce

Hank estimates that 2% of the grape concentrate is wasted, 10% of the sugar is lost, and 25% of the lemons cannot be used. Compute the standard cost of the ingredients for one gallon of wine. (Round intermediate calculations and final answer to 2 decimal places, e.g. 1.25.)

Standard Cost Per Gallon

$

8. Stefani Company has gathered the following information about its product. Direct materials: Each unit of product contains 3.00 pounds of materials. The average waste and spoilage per unit produced under normal conditions is 1.00 pounds. Materials cost $4 per pound, but Stefani always takes the 2.00% cash discount all of its suppliers offer. Freight costs average $0.25 per pound. Direct labor. Each unit requires 1.90 hours of labor. Setup, cleanup, and downtime average 0.10 hours per unit. The average hourly pay rate of Stefanis employees is $13.70. Payroll taxes and fringe benefits are an additional $2.30 per hour. Manufacturing overhead. Overhead is applied at a rate of $6.00 per direct labor hour. Compute Stefanis total standard cost per unit. (Round answer to 2 decimal places, e.g. 1.25.)

Total standard cost per unit

$

10. Lewis Companys standard labor cost of producing one unit of Product DD is 3.20 hours at the rate of $13.80 per hour. During August, 41,200 hours of labor are incurred at a cost of $14.00 per hour to produce 12,600 units of Product DD. (a) Compute the total labor variance.

Total labor variance

$enter the Total labor variance in dollars

(b) Compute the labor price and quantity variances.

Labor price variance		$enter a dollar amount		select an option Neither favorable nor unfavorableUnfavorableFavorable
Labor quantity variance		$enter a dollar amount

(c) Compute the labor price and quantity variances, assuming the standard is 3.60 hours of direct labor at $14.10 per hour.

Labor price variance		$enter a dollar amount		select an option Neither favorable nor unfavorableFavorableUnfavorable
Labor quantity variance		$enter a dollar amount

Please answer all 3 questions. Thank you!