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Bavarian chocolate company produces chocolate bars

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Standard Direct Materials Cost per Unit

Bavarian Chocolate Company produces chocolate bars. The primary materials used in producing chocolate bars are cocoa, sugar, and milk. Thestandard costs for a batch of chocolate (1,360 bars) are as follows:

Ingredient Quantity Price
Cocoa 540 lbs. $0.3 per lb.
Sugar 150 lbs. $0.6 per lb.
Milk 120 gal. $1.3 per gal.

Determine the standard direct materials cost per bar of chocolate. If required, round to the nearest cent.

Reference no: EM131783963

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