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Gatorade manufactures and sells a sports drink. It wants to develop a standard cost per gallon. The following are required for production of 1 gallon:
Gatorade manufactures and sells a sports drink. It wants to develop a standard cost per gallon. The following are required for production of 1 gallon: 18 Ounces of fruit drink mix at $.16 per ounce .60 pounds of granulated sugar at $.40 per pound 2 limes at $.50 each 1 protein tablet at $.90 each 40 ounces of water at $.003 per ounce Gatorade estimates that 10% of the fruit drink mix is wasted, 20% of the sugar is lost, and 5% of the limes cannot be used. What is the standard quantity of fruit drink mix that must be purchased? 16.2 ounces 18 ounces 19.8 ounces 20 ounces
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