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Sunland's Bakery makes a variety of home-style cookies for upscale restaurants in the Atlanta metropolitan area. The company's best-selling cookie is the double chocolate
Sunland's Bakery makes a variety of home-style cookies for upscale restaurants in the Atlanta metropolitan area. The company's best-selling cookie is the double chocolate almond supreme. Sunland's recipe requires 60 ounces of a commercial cookie mix, 8 ounces of milk chocolate, and 2 ounces of almonds per batch of cookies. The standard direct materials costs are $1.20 per pound of cookie mix, $12.00 per pound of milk chocolate, and $8.00 per pound of almonds. Each pound of cookies requires 1 minutes of direct labor in the mixing department and 3 minutes of direct labor in the baking department. The standard labor rates in those departments are $15.00 per direct labor hour (DLH) and $20.00 per DLH, respectively. Variable overhead is applied at a rate of $42.00 per DLH; fxed overhead is applied at a rate of $54.00 per DLH. Calculate the standard cost for a pound of Sunland's double chocolate almond supreme cookies. (Round answer to 2 decimal places, eg. 3.51.) Standard cost per pound %24
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