Healthy Day Company produces two beverages, PowerPunch and SlimLife. Data about these products follow.

Additional data from its two production departments follow.

Required
1. Determine the cost of each product line using ABC.
2. What is the cost per bottle for PowerPunch? What is the cost per bottle of SlimLife?
3. If PowerPunch sells for $ 3.75 per bottle, how much profit does the company earn per bottle of Power- Punch that it sells?
4. What is the minimum price that the company should set per bottle of SlimLife?Explain.

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PowerPunch SlimLife Production volume Liquid materials ....400 gallons Dry materials ....620 pounds Bottles 2,500 botdes 180,000 botdes 37000 gallons 12.000 pounds 180,000 botdes ..12.500 botdes 12.500 botdes Machine setups..500 setups Machine hours 300 setups 3,750 MH Department Driver Cost Miking department Liquid materialsGallons Dry materialsPounds $ 2.304 6.941 1.422 Bottling department Bottles $77.000 LabelingLabels per bottle 6,525 20.000 es .. .. Units Machine setup Setups