Spahr Confections is known for its creamy milk chocolate fudge. Spahr sells its fudge to local retailers.

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Spahr Confections is known for its creamy milk chocolate fudge. Spahr sells its fudge to local retailers. A "unit" of fudge is a ten pound batch. The standard quantities of ingredients for a batch include 9.5 cups of sugar, 20 ounces of chocolate chips, 18 ounces of butter, and 24 ounces of evaporated milk. The standard costs for each of the ingredients are as follows: $0.20 per cup of sugar, $0.15 per ounce of chocolate chips, $0.12 per ounce of butter, and $0.08 per ounce of evaporated milk. Calculate the standard direct material cost per batch of fudge.
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Managerial Accounting

ISBN: 978-0132890540

3rd edition

Authors: Karen W. Braun, Wendy M. Tietz

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