Sara's Salsa Company produces its condiments in two types: Extra Fine for restaurant customers and Family Style for home use. Salsa is prepared in department 1 and packaged in department 2. The activities, overhead costs, and drivers associated with these two manufacturing processes and the company's production support activities follow. Process Department 1 Activity Mixing Cooking Product testing Quantity 1,100 1.100 700 Department 2 Machine calibration Labeling Defects Overhead cost Driver $ 4,700 Machine hours 10,700 Machine hours 112,700 Batches $ 128,100 $ 260,000 Production runs 11,000 Cases of output 4,500 Cases of output $275,500 $ 92,000 Focus groups 22,000 Machine hours 67.000 Container types $ 181,000 500 155,000 155,000 Support Recipe formulation Heat, lights, and water Materials handling 40 1,100 10 Additional production information about its two product lines follows. Units produced Batches Machine hours Focus groups Container types Production runs Extra Fine 22,000 cases 220 batches 350 MH 25 groups 6 containers 220 runs Family Style 133,000 cases 480 batches 750 MH 15 groups 4 containers 280 runs De Required: 1. Using a plantwide overhead rate based on cases, compute the overhead cost that is assigned to each case of Extra Fin each case of Family Style Salsa. 2. Using the plantwide overhead rate, determine the total cost per case for the two products if the direct materials and din cost is $5 per case of Extra Fine and $4 per case of Family Style. 3.a. If the market price of Extra Fine Salsa is $16 per case and the market price of Family Style Salsa is $7 per case, deter gross profit per case for each product. 3.b. What might management conclude about the Family Style Salsa product line? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Reg 3A Reg 3B Using a plantwide overhead rate based on cases, compute the overhead cost that is assigned to each case of Extra Fine Sale and each case of Family Style Salsa. (Round your intermediate calculations and final answers to 2 decimal places.) Plantwide overhead rate per case BE Required: 1. Using a plantwide overhead rate based on cases, compute the overhead cost that is assigned to each case of Extra Fin each case of Family Style Salsa. 2. Using the plantwide overhead rate, determine the total cost per case for the two products if the direct materials and din cost is $5 per case of Extra Fine and $4 per case of Family Style. 3.a. If the market price of Extra Fine Salsa is $16 per case and the market price of Family Style Salsa is $7 per case, deter gross profit per case for each product. 3.b. What might management conclude about the Family Style Salsa product line? of 3 Complete this question by entering your answers in the tabs below. Reg 1 Req 2 Req Req 3B Using the plantwide overhead rate, determine the total cost per case for the two products if the direct materials and direct labor cost is $5 per case of Extra Fine and $4 per case of Family Style. (Round your intermediate calculations and final answers to 2 decimal places.) Total cost per unit Extra Fine unit Family Style unit GP 13 1. Using a plantwide overhead rate based on cases, compute the overhead cost that is assigned to each case of Extra Fin each case of Family Style Salsa. 2. Using the plantwide overhead rate, determine the total cost per case for the two products if the direct materials and di cost is $5 per case of Extra Fine and $4 per case of Family Style. 3.a. If the market price of Extra Fine Salsa is $16 per case and the market price of Family Style Salsa is $7 per case, deter gross profit per case for each product. 3.b. What might management conclude about the Family Style Salsa product line? Complete this question by entering your answers in the tabs below. Req 1 Reg 2 Req Req 3B If the market price of Extra Fine Salsa is $16 per case and the market price of Family Style Salsa is $7 per case, determine the gross profit per case for each product. (Round your intermediate calculations and final answers to 2 decimal places.) Extra Fine Family Style 4,825 65 10 3 1. Using a plantwide overhead rate based on cases, compute the overhead cost that is assigned to each case of Extra Fin- each case of Family Style Salsa. 2. Using the plantwide overhead rate, determine the total cost per case for the two products if the direct materials and dir cost is $5 per case of Extra Fine and $4 per case of Family Style. 3.a. If the market price of Extra Fine Salsa is $16 per case and the market price of Family Style Salsa is $7 per case, deter gross profit per case for each product. 3.b. What might management conclude about the Family Style Salsa product line? Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req 3A Req 3B What might management conclude about the Family Style Salsa product line? Conclude about the Family Style Salsa product line 4,825 AU 65 10 m HUUIUund production information about its two product lines follows. Units produced Batches Machine hours Focus groups Container types Production runs Extra Fine 22,000 cases 220 batches 350 MH 25 groups 6 containers 220 runs Family Style 133,000 cases 480 batches 750 MH 15 group 4 containers 280 runs 5. If the market price is $16 per case of Extra Fine and $7 per case of Family Style, determine the gross profit per case for each product. (Round your intermediate calculations and final answers to 2 decimal places.) Extra Fine Family Style Next >
