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Required information [The following information applies to the questions displayed below.) The controller for Canandaigua Vineyards, Inc., has predicted the following costs at various
Required information [The following information applies to the questions displayed below.) The controller for Canandaigua Vineyards, Inc., has predicted the following costs at various levels of wine output. Wine Output (0.75 Liter Bottles) 10,000 Bottles 15,000 Bottles 20,000 Bottles Variable production costs Fixed production costs $ 37,000 100,000 $ 74,000 100,000 Fixed selling and administrative costs 40,000 $177,000 40,000 $214,000 Total $ 55,500 100,000 40,000 $195,500 The company's marketing manager has predicted the following prices for the firm's fine wines at various levels of sales. 10,000 Bottles Sales price per 0.75 liter bottle $18.00 Wine Sales 15,000 Bottles $15.00 20,000 Bottles $12.00 Required: 1-a. Calculate the unit cost of wine production at each level of output. (Round your answers to 2 decimal places.) Output (0.75 liter bottles) Unit Cost 10,000 15,000 20,000
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