Afterglow.com Afterglow.com manufactures generic pharmaceutical pills in two departments, Mixing and Pill- making. Each pill contains 0.5 ounces of direct materials. Production information is as follows: Capacity per hour Monthly capacity (hours) Pill-making 200 pills Mixing 150 ounces 2,000 hours 2,000 hours Monthly capacity (output) 300,000 ounces 400,000 pills Monthly production 200,000 ounces 390,000 pills Fixed operating costs Materials costs (note: all costs other than $16,000 $156,000 $39,000 Incoming costs of mixture materials costs are fixed costs) Wastage Selling price The Mixing department makes 200,000 ounces of direct materials mixture (enough to make 400,000 pills) because the Pill-making department has only enough capacity to process 400,000 pills. None None 2.5% of incoming mixture $1 per pill