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Bavarian chocolate company produces chocolate bars

Question - Bavarian Chocolate Company produces chocolate bars. The primary materials used in producing chocolate bars are cocoa, sugar, and milk. The standard costs for a batch of chocolate (5,000 bars) are as follows

Ingredient Quantity Price

Cocoa 510 LBS $0.40per LB.

Sugar 150 LBS $0.64per LB.

Milk 120 GAL $1.25per Gal

Determine the standard direct materials cost per bar of chocolate. Round the answer to nearest whole cent.

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Accounting Basics: Bavarian chocolate company produces chocolate bars

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