Nestl S.A. manufactures chocolates in batches. In December 2025, the company produces 5 batches of chocolates with varying recipes and costs per batch: Batch Direct

Nestlé S.A. manufactures chocolates in batches. In December 2025, the company produces 5 batches of chocolates with varying recipes and costs per batch:

Batch	Direct Materials ($)	Direct Labor ($)	Factory Overhead ($)
Batch 1	100,000	50,000	30,000
Batch 2	120,000	55,000	35,000
Batch 3	110,000	52,000	33,000
Batch 4	115,000	54,000	34,000
Batch 5	125,000	58,000	36,000

Required:

• Calculate the total manufacturing costs for Nestlé S.A. in December 2025.
• Determine the cost per unit for each batch produced.
• Analyze the total cost of production for all batches.
• Discuss the advantages and disadvantages of batch costing for Nestlé S.A.
• Calculate the profit margin per batch assuming a selling price of $200,000 per batch.