The managers of Rockhurst Brewery are analyzing the costs involved in their beer production.
Rockhurst hired an engineering consulting firm to perform an engineering estimate of its business costs.The consulting firm came up with the following monthly cost estimates based on information for the current period:

*Cost drivers: volume of beer produced (in hectoliters,i.e. ,1 hL = 100 L),total amount of raw materials used (in kilograms),number of batches,volume of water used (in hL),number of cleaning procedures performed-cleanings in place (CIPs)-and number of new products.
Required:
Assuming the following level of cost driver volume for a month,what is the estimated cost using the engineering estimates? (Don't forget to include the facilities costs in your estimate. )

(Rockhurst Brewery;engineering method. )

Question

The managers of Rockhurst Brewery are analyzing the costs involved in their beer production.
Rockhurst hired an engineering consulting firm to perform an engineering estimate of its business costs.The consulting firm came up with the following monthly cost estimates based on information for the current period:
  
*Cost drivers: volume of beer produced (in hectoliters,i.e. ,1 hL = 100 L),total amount of raw materials used (in kilograms),number of batches,volume of water used (in hL),number of cleaning procedures performed-cleanings in place (CIPs)-and number of new products.
Required:
Assuming the following level of cost driver volume for a month,what is the estimated cost using the engineering estimates? (Don't forget to include the facilities costs in your estimate. )
  
(Rockhurst Brewery;engineering method. )

Quizplus · Accepted Answer

The Answer of The managers of Rockhurst Brewery are analyzing the costs involved in their beer production.
Rockhurst hired an engineering consulting firm to perform an engineering estimate of its business costs.The consulting firm came up with the following monthly cost estimates based on information for the current period:
  
*Cost drivers: volume of beer produced (in hectoliters,i.e. ,1 hL = 100 L),total amount of raw materials used (in kilograms),number of batches,volume of water used (in hL),number of cleaning procedures performed-cleanings in place (CIPs)-and number of new products.
Required:
Assuming the following level of cost driver volume for a month,what is the estimated cost using the engineering estimates? (Don't forget to include the facilities costs in your estimate. )
  
(Rockhurst Brewery;engineering method. )

The Managers of Rockhurst Brewery Are Analyzing the Costs Involved