Question 1:

Consider the following revenue and cost data for Shannons Brewery in Keller, Texas. Shannons sells 35% of its craft beer production through its own on-premise taproom. The bulk of its sales (65%) are made off-premise via various retail outlets including supermarkets, bars, and restaurants. 40% of its of sales (on-premise and off-premise) consists of package sales (bottles and cans). Of this 40%, beer sold in cans accounts for 80% with sales of bottled beer accounting for the remaining 20%. Finally, the bulk of Shannons craft beer sales (60%) occurs in kegs (31 gallons per keg). Assume that overall sales for FY 2018 are expected to be $1,278,360. Given the proportions of beer sold in kegs, bottles, and cans, what will be the predicted dollar sales of beer sold in kegs? Round your answer to the nearest one dollar.

Question 2:

Assume the following costs in each of the categories identified in question one are:

Packaged (Cans & Bottles)	$160,206
Kegs	$67,098
Shrinkage/WIP Loss	$42,000
Contract Labor	$9,000
Direct Labor	$240,000
Freight	$18,000
Consumer Advertising	$30,000
Trade Promotion	$30,000
Sales Promotion	$18,000
Salaries & Benefits	$180,000

What is Shannon's cost of goods sold?

Question 3:

Assume that projected revenue for 2018 is 1,155,212. Also assume the following projected 2018 costs in each of the cost categories from question one:

Packaged (Cans & Bottles)	$156,846
Kegs	$71,684
Shrinkage/WIP Loss	$42,000
Contract Labor	$9,000
Direct Labor	$240,000
Freight	$18,000
Consumer Advertising	$30,000
Trade Promotion	$30,000
Sales Promotion	$18,000
Salaries & Benefits	$180,000

Given these costs, compute Shannons projected contribution in dollars.