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Pear Juice Delights makes 70,000 cases yearly:Cost ItemCost per Case ($)Total Costs ($)Variable production costs211,470,000Fixed production...

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Question

Accounting

Pear Juice Delights makes 70,000 cases yearly:

Cost Item

Cost per Case ($)

Total Costs ($)

Variable production costs

21

1,470,000

Fixed production costs

10

700,000

Variable selling costs

7

490,000

Fixed selling/admin costs

5

350,000

Total costs

43

3,010,000

Pear Juice marks up 30% over costs. With a capacity of 15,000 more cases, a Canadian retailer offers 12,000 cases at $55/case. Extra costs: $4/case. Prepare the cost of goods sold statement for this order.

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