Calculate the raw material cost for one bottle

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Reference no: EM132970281

Question. Lakeway manufacturing Co. manufactures and sells household cleaning products. The company's research department has developed a new cleaner for which a standard cost must be determined. The new cleaner is made by mixing 12 quarts of triphate solution and 4 pounds of sobase granules and boiling the mixture for several minutes. After the solution has been cooled, 1 ounces of methage are added. This recipe produces 13 quarts of the cleaner, which is then packaged in 1- quart plastic dispenser bottles. Raw material costs are as follows;

Triphate solution: $ 0.34 per quart
Sobase granules: $ 0.90 per pound
Methage : $1.06 per ounce
Bottle: $0.11 each

Using the preceding data, calculate the raw material cost for one bottle of the new cleaner. Do not round intermediate calculations. Round final answer to 3 decimal places.

Reference no: EM132970281

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