Hank itzek manufactures and sells homemade wine, and he wants to develop a standard cost per gallon. the following are required for production of a 210-gallon batch. 3,300 ounces of grape concentrate at $0.03 per ounce 357 pounds of granulated sugar at $0.36 per pound 294 lemons at $0.63 each 840 yeast tablets at $0.28 each 1,050 nutrient tablets at $0.11 each 3,100 ounces of water at $0.001 per ounce hank estimates that 1% of the grape concentrate is wasted, 15% of the sugar is lost, and 30% of the lemons cannot be used. compute the standard cost of the ingredients for one gallon of wine. (round intermediate calculations and final answer to 2 decimal places, e. g. 1.25.) standard cost per gallon $

$4.140 per gallon

Explanation:

Costs including wastage for 210 gallons:

3,300 ounces of grape concentrate at $0.03 per ounce:

=

= 100

357 pounds of granulated sugar at $0.36 per pound :

=  

= 151.2

294 lemons at $0.63 each =  

                                             = 264.6

840 yeast tablets at $0.28 each  = 840 × 0.28

                                                      = 235.2

1,050 nutrient tablets at $0.11 each  = 1,050 × 0.11

                                                           = 115.5

3,100 ounces of water at $0.001 per ounce = 3,100 × 0.001

                                                                         = 3.1

Hanks estimates that,

1% of the grape concentrate is wasted

15% of the sugar is lost

30% of the lemons cannot be used

Hence,

Cost for 210 gallons = 100 + 151.2 + 264.6 + 235.2 + 115.5 + 3.1

                                 = $869.6

Hence, cost per gallon =

                                      =

                                      = $4.140 per gallon

the correct answer is - no.

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