Comprehensive Problem 5 Part A: Note: You must complete part A before completing parts and C. Genuine Spice Inc. began operations on January 1 of the current year. The company produces Bounce bottles of hand and body lotion called Femal Beauty. The lotin is sold wholesale in 12 bottle cases for $100 per case. There is a seling commission of $20 per case. The January direct materals, direct labor, and factory overhed costs are as follows: DIRECT MATERIALS Cost Behavior Units per Case Direct Materials Cost per Case per Unit Cream base 100 2. $2.00 Variable Variable Natural oils 6.00 Bottle (8-oz.) Variable $17.00 DIRECT LABOR Time Labor Rate per Case per Hour Cost Behavior Direct Labor Cost per Case Department 20 min Mixing FACTORY OVERHEAD Cost Behavior Total Cost OM 10 ore Che W ang T A RAN veter FACTORY OVERHEAD 5-01.PARTA . Cost Behavior Total Cast Utilities Mixed 5600 Facility lease Fixed 14,000 Equipment depreciation Fixed 4,300 Supplies Fixed 660 $19,560 Part A-Break-Even Analysis The management of Genuine Spice Inc. wishes to determine the number of cases required to break even per month. The utilities cost, which is part of factory overhead, is a mixed cost. The following information was gathered from the first sex months of operation regarding this cost: Month Case Production Utility Total Cost January 500 $600 February 660 March 1,200 740 April 1,100 950 690 1,025 705 720 May June Required: 1. Determine the fixed and variable portions of the utility cost using the high-low method. Round the per un cost to the nearest cent. At the High Point At the Low Point Variable cost per unit Total fizer Check My Work 10 more Check My Work reming Submit Assignment for Grading 0.0% Calculator March 1,200 PARTA April May 950 June 1,025 Required: 1. Determine the fixed and variable portions of the utility cost using the high-low method. Round the per unit cost to the nearest cent. At the High Point At the Low Point Variable cost per unit Total fixed cost Total cost 2. Determine the contribution margin per case. Enter your answer to the nearest cent. Contribution margin per cases 3. Determine the fixed costs per month, including the utility fixed cost from part (1) Utilities cost (from part 1) Facility lease Equipment depreciation Supplies Total fixed costs 4. Determine the break-even number of cases per month Cases Check My Work 10 more Check My Work uses remaining