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25 June, 11:58

Sandy's Sauces, which produces stir-fry sauces, is developing direct material standards. Each bottle of sauce requires 0.70 kilograms of base. The allowance for waste is 0.05 kilograms per bottle, while the allowance for rejects is 0.09 kilograms per bottle. What is the standard quantity of base per bottle? Group of answer choices

A. 0.75 kilograms

B. 0.70 kilograms

C. 0.84 kilograms

D. 0.79 kilograms

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Answers (1)
  1. 25 June, 12:34
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    C) 0.84 kilograms

    Explanation:

    The standard material quantity = kilograms per bottle + allowance for waste + allowance for rejects = 0.70 kg + 0.05 kg + 0.09 kg = 0.84 kg

    The standard material quantity is the budgeted (estimated) amount of direct materials needed to produce one unit of output. The total standard quantity = standard material quantity times total units produced.
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