Dan Engles manufactures and sells homemade wine, and he wants to develop a standard cost per gallon. The following are required for production of a 50-gallon batch.
3,200 ounces of grape concentrate at $0.06 per ounce
55 pounds of granulated sugar at $0.38 per pound
62 lemons at $0.63 each
50 yeast tablets at $0.26 each
50 nutrient tablets at $0.21 each
2,450 ounces of water at $0.008 per ounce

Dan estimates that 4% of the grape concentrate is wasted, 10% of the sugar is lost, and 20% of the lemons cannot be used.