Coca-Cola Company produces two types of beverages, Coke and Diet Coke. The following cost data is available:

Cost Item	Coke	Diet Coke
Direct Material	$0.5/unit	$0.6/unit
Direct Labor	$0.2/unit	$0.25/unit
Overhead	180% of direct labor cost	160% of direct labor cost

Additional Information:

• Production for Coke: 1,000,000 units
• Production for Diet Coke: 800,000 units

Requirements:

1. Calculate the total cost for Coke and Diet Coke.
2. Determine the cost per unit for each product.
3. Prepare a cost sheet for both products.
4. Analyze the cost structure and suggest which product is more cost-effective.
5. Discuss the implications of cost structure on pricing strategy.