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GEOGR 1200-C Hureagreb (Hybrid) Assignment Canada Snowcones (CSU) owned and operated 20 retail frozen yogurt stores spread throughout Southern Ontario, from Toronto to Windsor. CSL's stores sold only the premium frozen yogurt. They offered an assortment of a different froren yogurt fours. A significant amount of the claves were special such as "Peanut Butter Becont, "Charcoal Sush, and Tropical Cheese Sensations. However, two sold a few of the cassie frezen yogurt favours, such as vanila, milk chocolate, mint, and other singular frukt flavours. While some of the flavours were very popular, there were also some of the more peculiar flavours that had ew total sales in terms of units CSL produced its own frozen yogurt. The founder of the compwy, Samantha Reynolds, had originally made the yogurt in her basement. But eventual growing demand led to Swania renting part of factory for CSUS production As Sl. grew, Samantha was able to afford automated but more costly production equipment that blended the flavours and packaged the liquid fraen yogurt for freezing Cls most significant production costs were for raw materials, particularly yogurt, brown sugar, and the special flavour ingredients, and for the purchase, operation, and maintenance of production equipment All of CSL's products had the same retail price, as customers could choose or combine any flavours by scoops. Samantha set the prices to generate, on averapamarkup of 100% on average portion costs CSLS 2010 budget included manylacturing overhead (MOH of $450,000. To estimate product costs, Samantha spread this MOH cost to products based on a proportion of the direct labour (DL) costs used in the production process total costs for 2019 was 1200,000, so Samantha charged the overhead to products at a rate of MOH to total costs. Last week, Laura Horton, Samantha's babysitter for her daughter and the CEO of a large production firm, advised that Samantha's pricing strategy was not optimal. Laura's Insight was that the perses for producing CSS numerous flavours were not uniform. She thought those inconsistencies should be reflected in the prices charged, or CSL Searnings would fluctuate as the combination of flavours sold varled. Laura proposed that Samantha reestimate product costs using activity based costing. She recommended that Samantha identify the major activities whose costs were included in the company's NOH costs. Ther, she sho apply these costs to products based on the products consumption of each of those activities. In response to Laura's suggestioni Samantha prepared the information presented below in Table 1. Samantha decided to hire your consulting firm to help calculate the costs of two demonstrative flavours as an experiment to see if Laura's activity based costing system suggested produced any significant contrasts. She asked Laura to take her best estimate as to where she might find the most material differences, if any existed After Samantha described the products to her, Laura suggested that she use Peanut Butter Bacon and Chocolate as the test product examples. Table 2 provides data relevant to the two selected products, tu 1 . $ US 100 Nu $ . 1. Quay 4000 190 1 0.0 Case Questions and atty based cost in terms of 1. Ucing the information above, cate the full product cost fona per galon basis of the Peanut Butter Bacon and Chocolate favours Samantha's more traditional costing system b. Laura's suggestion to use actvity based costing What are the impact there is anyato switch CSL's costing method in particulare the significantes de The impact on costs for independent products b Their effect on total income assuming everyong remains the same suas product and les prises if there we sificant contrasts way are the presenterar en contact we they What would you recommend to be Samantha Step on thesis expan GEOGR 1200-C Hureagreb (Hybrid) Assignment Canada Snowcones (CSU) owned and operated 20 retail frozen yogurt stores spread throughout Southern Ontario, from Toronto to Windsor. CSL's stores sold only the premium frozen yogurt. They offered an assortment of a different froren yogurt fours. A significant amount of the claves were special such as "Peanut Butter Becont, "Charcoal Sush, and Tropical Cheese Sensations. However, two sold a few of the cassie frezen yogurt favours, such as vanila, milk chocolate, mint, and other singular frukt flavours. While some of the flavours were very popular, there were also some of the more peculiar flavours that had ew total sales in terms of units CSL produced its own frozen yogurt. The founder of the compwy, Samantha Reynolds, had originally made the yogurt in her basement. But eventual growing demand led to Swania renting part of factory for CSUS production As Sl. grew, Samantha was able to afford automated but more costly production equipment that blended the flavours and packaged the liquid fraen yogurt for freezing Cls most significant production costs were for raw materials, particularly yogurt, brown sugar, and the special flavour ingredients, and for the purchase, operation, and maintenance of production equipment All of CSL's products had the same retail price, as customers could choose or combine any flavours by scoops. Samantha set the prices to generate, on averapamarkup of 100% on average portion costs CSLS 2010 budget included manylacturing overhead (MOH of $450,000. To estimate product costs, Samantha spread this MOH cost to products based on a proportion of the direct labour (DL) costs used in the production process total costs for 2019 was 1200,000, so Samantha charged the overhead to products at a rate of MOH to total costs. Last week, Laura Horton, Samantha's babysitter for her daughter and the CEO of a large production firm, advised that Samantha's pricing strategy was not optimal. Laura's Insight was that the perses for producing CSS numerous flavours were not uniform. She thought those inconsistencies should be reflected in the prices charged, or CSL Searnings would fluctuate as the combination of flavours sold varled. Laura proposed that Samantha reestimate product costs using activity based costing. She recommended that Samantha identify the major activities whose costs were included in the company's NOH costs. Ther, she sho apply these costs to products based on the products consumption of each of those activities. In response to Laura's suggestioni Samantha prepared the information presented below in Table 1. Samantha decided to hire your consulting firm to help calculate the costs of two demonstrative flavours as an experiment to see if Laura's activity based costing system suggested produced any significant contrasts. She asked Laura to take her best estimate as to where she might find the most material differences, if any existed After Samantha described the products to her, Laura suggested that she use Peanut Butter Bacon and Chocolate as the test product examples. Table 2 provides data relevant to the two selected products, tu 1 . $ US 100 Nu $ . 1. Quay 4000 190 1 0.0 Case Questions and atty based cost in terms of 1. Ucing the information above, cate the full product cost fona per galon basis of the Peanut Butter Bacon and Chocolate favours Samantha's more traditional costing system b. Laura's suggestion to use actvity based costing What are the impact there is anyato switch CSL's costing method in particulare the significantes de The impact on costs for independent products b Their effect on total income assuming everyong remains the same suas product and les prises if there we sificant contrasts way are the presenterar en contact we they What would you recommend to be Samantha Step on thesis expan

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