Question: Hello, please help me with task ASAP: Aunt Ethel's Fancy Cookie Company manufactures and sells three flavors of cookies: Macaroon, Sugar, and Buttercream. The batch

Hello, please help me with task ASAP:

Aunt Ethel's Fancy Cookie Company manufactures and sells three flavors of cookies: Macaroon, Sugar, and Buttercream. The batch size for the cookies is limited to 1 000 cookies based on the size of the ovens and cookie molds owned by the company. Based on budgetary projections, the information listed below is available:

Macaroon

Sugar

Buttercream

Projected sales in units

500 000

800 000

600 000

PER UNIT data:

Selling price ($)

0,8

0,8

0,6

Direct materials ($)

0,2

0,12

0,14

Direct labor ($)

0,04

0,06

0,02

Hours per 1000-unit batch:

Direct labor hours

2

1

1

Oven hours

1

0,9

1

Packaging hours

0,5

0,7

0,5

Total overhead costs and activity levels for the year are estimated as follows:

Activity

Overhead costs

Oven

203 840

Packaging

210 900

Required:

Using the ABC system, for the Sugar cookie compute the estimated operating profit per thousand cookies.

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