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Ch 10 Assignment i Saved Help 3 Problem 10-68 (Algo) Assigning Capacity Costs (LO 10-6) 40 points Mercia Chocolates produces gourmet chocolate products with no
Ch 10 Assignment i Saved Help 3 Problem 10-68 (Algo) Assigning Capacity Costs (LO 10-6) 40 points Mercia Chocolates produces gourmet chocolate products with no preservatives. Any production must be sold within a few days, so producing for inventory is not an option. Mercia's single plant has the capacity to make 94,500 packages of chocolate annually. Currently, Mercia sells to only two customers: Vern's Chocolates (a specialty candy store chain) and Mega Stores (a chain of department stores). Vern's orders 49,500 packages and Mega Stores orders 19,500 packages annually. Variable manufacturing costs are $19 per package, and annual fixed manufacturing costs are $630,000. eBook Required: What cost per package should the cost system report? (Round your intermediate calculations and final answers to 2 decimal places.) Print References Cost per package at capacity Cost per package at demand
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