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Engineers and Accountants Working Together with Present and Future Cost

Question 73

Multiple Choice

Engineers and accountants working together with present and future cost information predict the following cost information for the Chocolate Candy Bar Company's new HiCalcium Bar
? The cost of materials for each bar is $0.58
? The labor cost for each batch of bars is $12.50
? The Rate per New Customer is expected to be $185 per bar customer
? New Product Management Cost will be $840 for the product
? The associated Facility costs will be $1490
Assuming 5000 bars are produced in 100 batches for 80 new wholesale customers. Based upon the engineering analysis, estimated total cost for this new product isare


A) $84,280
B) $18,045
C) $17,920
D) $16,555

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