Aroma Coffee purchases green coffee beans from various suppliers and then roasts the coffee beans in its roasting facility.

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Read the requirements.

Requirement $1.$ What is the standard cost of producing one $10-$pound case of roasted coffee beans? the nearest cent$)$

$\backslash$table$[[,$Standard quantity,$,$Standard price $=,$Standard cost of input$],[$Direct materials,$10\mathrm{.}00$ pounds,$$$$250$ per pound $=$$$,2500,],[$Direct labor,$0\mathrm{.}50$ hours,$$$$24\mathrm{.}00$ per hour $=$$$,1200,],[$Variable manufacturing overhead,machine hours,$,$ per hour $=||,,]]$

Requirements

What is the standard cost of producing one $10-$pound case of roasted coffee beans?

What is the standard gross profit per $10-$pound case of roasted coffee beans?

How often should the company reassess standard quantities and standard prices for inputs?

The roasted beans are sold in $10-$pound cases to grocery stores and restaurants for $$90$ per case. Each case of roasted coffee beans requires $10$ pounds of unroasted green coffee beans. The company can purchase the green coffee beans, including freight$-$in and purchase discounts, for $$2\mathrm{.}50$ per pound. Each case of roasted coffee beans requires $050$ hours of direct labor in the production process. Direct laborers are paid $$24$ per hour, which includes payroll taxes and employee benefits. The company uses machine hours to allocate its manufacturing overhead. Each case of roasted coffee beans requires $0\mathrm{.}20$ machine hours to produce. The company expects to produce $500,000$ cases of roasted coffee beans in the upcoming year. At this production volume, the company expects total variable manufacturing overhead to be $$3,800,000$ for the year. The company also expects to incur $$75,000$ of fixed manufacturing overhead per month, or $$900,000$ for the year