Comprehensive Problem $5$

Part A:

Note: You must complete part A before completing parts B and C$.$

Genuine Spice Inc. began operations on January $1$ of the current year. The company produces $8-$ounce bottles of hand and body lotion called Eternal Beauty. The lotion is sold wholesale in $12-$bottle cases for $$100$ per case. There is a selling commission of $$20$ per case. The January direct materials, direct labor, and factory overhead costs are as follows:

DIRECT MATERIALS

$\backslash$table$[[,$Cost,,,$],[,$Behavior,Units per Case,$\backslash$table$[[$Cost$],[$per Unit$]],\backslash$table$[[$Direct Materials$],[$Cost per Case$]]],[$Cream base,Variable,$100$ ozs.,$$0\mathrm{.}02,$$$2\mathrm{.}00$