James Johnson manufactures and sells homemade wine, and he wants to develop a standard cost per litre. The following are requiredfor production of a 150-litre batch:72.00 litres of grape concentrate at $1.20 per litre20.25 kg of granulated sugar at $0.60 per kilogram42.00 lemons at $0.60 each34.50 yeast tablets at $0.25 each33.75 nutrient tablets at $0.20 each52.50 litres of water at $0.10 per litreJames estimates that 4% of the grape concentrate is wasted, 10% of the sugar is lost, and 20% of the lemons cannot be used.Calculate the standard cost of the ingredients for one litre of wine. (Round intermediate calculations and final answer to 3 decimal places,e.g. 1.251.)Standard cost of the ingredients for one litre of wine $

The standard cost is the budgeted cost of a regular manufacturing process in which actual cost are…

for production of a 150-litre batch: 72.00 litres of grape concentrate at $ 20.25 kg of granulated sugar at $0.60 42.00 lemons at $0.60 each 34.50 yeast tablets at $0.25 each 33.75 nutrient tablets at $0.20 each

for production of a 150-litre batch: 72.00 litres of grape concentrate at $ 20.25 kg of granulated sugar at $0.60 42.00 lemons at $0.60 each 34.50 yeast tablets at $0.25 each 33.75 nutrient tablets at $0.20 each

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

James Johnson manufactures and sells homemade wine, and he wants to develop a standard cost per litre. The following are required
for production of a 150-litre batch:
72.00 litres of grape concentrate at $1.20 per litre
20.25 kg of granulated sugar at $0.60 per kilogram
42.00 lemons at $0.60 each
34.50 yeast tablets at $0.25 each
33.75 nutrient tablets at $0.20 each
52.50 litres of water at $0.10 per litre
James estimates that 4% of the grape concentrate is wasted, 10% of the sugar is lost, and 20% of the lemons cannot be used.
Calculate the standard cost of the ingredients for one litre of wine. (Round intermediate calculations and final answer to 3 decimal places,
e.g. 1.251.)
Standard cost of the ingredients for one litre of wine $

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