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Best Dairy processes organic milk into plain yogurt. Best Dairy sells plain yogurt to hospitals, nursing homes, and restaurants in bulk one-gallon containers. Each batch,

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Best Dairy processes organic milk into plain yogurt. Best Dairy sells plain yogurt to hospitals, nursing homes, and restaurants in bulk one-gallon containers. Each batch, processed at a cost of $850, yields 570 gallons of plain yogurt. The company sells the one-gallon tubs for $700 each and spends $0.10 for each plastic tub Best Dairy has recently begun to reconsider its strategy Management wonders if it would be more profitable to sell ind ividual-sized portions of fruited organic yogurt at local food stores. Best Dairy could further process each batch of plain yogurt into 12,160 individual portions (3/4 cup each) of fruited yogurt A recent market analysis indicates that demand for the product exists. Best Dairy would sell each individual portion for $0.46. Packaging would cost $0.07 per portion, and fruit would cost $0.11 per portion. Fixed costs would not change. Should Best Dairy continue to sell only the gallon-sized plain yogurt (sell as is) or convert the plain yogurt into individual-sized portions of fruted yogurt (process further)? Why? Calculate the net benefit per batch under each altemative. (Enter a " 0 - lor any zero amounts Round the net benefit per batch to the nearest whole dollar) (1) Additional processing costs per unit-adding fruit Additional processing costs per unit-packaging Contribution margin Contribution margin per unit Number of units produced per year Fixed expenses Sales revenue per unit Fixed expenses per unit. Number of units produced per batch (2) Additional processing costs per unit-adding fruit Additional processing costs per unit-packaging Contribution margin Contribution margin per unit Number of units produced per year Fixed expenses Sales revenue per unit Fixed expenses per unit Number of units produced per batch (3) Additional processing costs per unit-adding fruit Additional processing costs per unit-packaging Contribution margin Contribution margin per unit Number of units produced per year Fixed expenses Sales revenue per unit Fixed expenses per unit Number of units produced per batch (4) Additional processing costs per unit-adding fruit Additional processing costs per unit-packaging Contribution margin Contribution margin per unit Number of units produced per year Fixed expenses Sales revenue per unit Fixed expenses per unit. Number of units produced per batch (5) plain yogurt in bulk gallon containers fruted yogurt as individual portions (6) there is a demand for the individual portions the demand continues for bulk gallon containers

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