Sugar Sweet, Inc.
ANTONELLA ESPOSTO
EMI GJINI
MONIKA MACKOWIAK
JENNA PALANTI
Company Letter
Sugar Sweet, Inc. was established
in January 2008 by the current
company officers. The No. 1 feature
is the company’s famous sugar
cookies, which is offered in 3
varieties: plain, sprinkles, and
frosting & sprinkles. The company
continues to provide award winning
sugar cookies to the Chicagoland
area.
Our Vision:
Our Mission:
Our mission is to provide our
customers with exceptionally
scrumptious cookies. We pledge
to properly make use of our time,
size, and resources in order to
efficiently carry out our mission
today and always. We are
committed to being an important,
contributing member of the
cookie industry. We provide our
Sugar Sweet, Inc. family a fun,
tasty, and rewarding work
environment while ensuring our
long term success.
Sugar Sweet, Inc. is often recognized
as one of the leading culinary
organizations in the nation. In order
to continuously strive for top
performance we diligently carry out
our mission, and provide our
delightful cookies.
Our Beliefs:
Our shared beliefs are the values that
maintain our organization’s success and
advancement. The beliefs we all share
allow us to properly implement decisions,
execute goals, and reach success. We all
share diversities, however they allow us to
have a clearer understanding of views and
a dynamic perspective when working
together. These ideas are not complex, yet
are powerful in our commitment to one
another. We are an organization with
integrity, we bring value to our customers,
and we gain our strengths through cultural
diversity.
Sugar Sweet, Inc. Company Officers
CEO
JENNA PALANTI
RESEARCHER
ANTONELLA ESPOSTO
BUDGET OFFICER
EMI GJINI
CONTROLLER
MONIKA MACKOWIAK
Recipe Specifications
*COOKIE QUALITY: SOFT &
CHEWY
*SIZE: DOUGHBALLS AT LEAST
1 TEASPOON IN SIZE
*APPEARANCE: LIGHTLY
GOLDEN
*SPECIAL FEATURES:
SPRINKLES AND FROSTING
Recipe Summary
DIFFICULTY: EASY
PREP TIME: 20 MINUTES
COOK TIME: 10 MINUTES
YIELD: 4 DOZEN COOKIES
We chose to bake Sugar Cookies
because it was the one cookie we
all agreed upon manufacturing and
it’s also the one cookie that always
tastes great. We also thought this
cookie would best fit the timed
schedule we had at the Chopping
Block.
Direct Materials Variance Analysis
Direct Materials Price Variance:
(AP - SP) AQ
($19.01 - $25.34) 56 cookies
= $354.48 F
Direct Materials Quantity Variance:
(AQ - SQ) SP
(56 cookies - 48 cookies) $25.34
= $202.72 U
Direct Labor Variance Analysis
Direct Labor Rate Variance:
(AR - SR) AH
($5 - $5) 1.08
= $0
Direct Labor Efficiency Variance:
(AH - SH) SR
(1.08 hours- 2.00 hours)$5
= $4.60 F
Budget
Cost Description
Planned
Direct Materials
Actuals
Direct Materials
All-Purpose Flour 5LB Bag
$
2.99
All-Purpose Flour 5 OZ Bag
$
2.15
Granulated Sugar 2LB Box
$
1.99
Granulated Sugar 1LB Box
$
1.35
Baking Soda 16 OZ Box
$
0.99
Baking Soda 1 LB Box
$
1.09
Baking Powder 10 OZ Can
$
1.25
Baking Powder 4 OZ Can
$
1.65
Unsalted Butter 1LB Box
$
3.99
Unsalted Butter 8 OZ Box
$
2.94
Eggs 1 Doz.
$
1.99
Eggs 0.5 Doz.
$
1.59
Buttermilk 1 Pint
$
1.49
Buttermilk 1 Qt.
$
2.39
Vanilla Extract 4 OZ BTL.
$
3.19
Vanilla Extract 4 OZ BTL.
$
3.19
Red Sugar Crystals
$
1.49
Sprinkles Variety
$
2.55
Pink Sugar Crystals
$
1.49
Strawberry Frosting 12 OZ Can
$
2.09
Frosting 16 OZ Can
$
2.09
White Frosting 16 OZ Can
$
2.09
Packaging, 50 Count Bag
$
2.39
Packaging, 50 Count Bag
$
1.49
Total Direct Material Costs
$
25.34
Total Direct Material Costs
$
24.57
Budget
Direct Manufacturing Labor
Direct Manufacturing Labor
Prep/Baking/Clean-up Labor hours
1
Decorating & Packaging Labor hours
Direct manufacturing labor rate per hour
1
$
$
$
5.00
5.00
5.00
Total Direct Manufacturing Labor Costs
Preparation 0.5 Labor hrs.
$
2.50
Baking 0.25 Labor hrs.
$
1.25
Clean-up 0.08 Labor hrs.
$
0.40
Decorating & Packaging Labor 0.25 hrs.
$
1.25
$
5.00
$
10.00
Total Direct Manufacturing Labor Costs
$
5.40
$
4.00
Total Labor hours 1.08
$
2.16
$
10.00
Design Cost
$
-
Consulting Fee
$
10.00
Consulting Fee
$
10.00
Total Costs
$
56.95
Manufacturing Overhead Allocated
per direct manufacturing labor-hour
$
2.00
2 hours
Design Cost
$42.13
Job Cost Card
JOB NO: Sugar Cookies
Corporation: Sugar Sweet, Inc.
Date Started: Feb. 18, 2008
Date Completed: Feb. 18, 2008
Direct Materials
Ingredients
Quantity Used
Unit Cost
All-Purpose Flour
2.75 cups
0.05/cups
$0.14
Granulated Sugar
1.5 cups
0.03/cups
$1.68
Baking Soda
1 teaspoons
0.02/teaspoons
$1.12
Baking Powder
0.5 teaspoons
0.009/teaspoons
$0.50
Unsalted Butter
1 cup
0.02/cups
$1.12
Eggs
0.5 Doz.
0.1/egg
$5.60
Buttermilk
4 tablespoons
0.07/tablespoons
$3.92
Vanilla Extract
1 teaspoons
0.02/teaspoons
$1.12
Sprinkles Variety
3 tablespoons
0.05/tablespoons
$2.80
Strawberry Frosting
0.5 cups
0.009/cups
$0.50
White Frosting
0.5 cups
0.009/cups
$0.50
Total
Total Costs
$19.01
Job Cost Card
Direct Manufacturing Labor
Period Covered
Labor
Hours Used
Hourly Rate
Feb. 18, 2008
Preparation
0.5
$5
$
2.50
Feb. 18, 2008
Baking
0.25
$5
$
1.25
Feb. 18, 2008
Clean-up
0.08
$5
$
0.40
Feb. 18, 2008
Decorating & Packaging
0.25
$5
$
1.25
$
5.40
Total
Total Costs
Manufacturing Overhead
Date
Allocation Base Direct
Manufacturing
Labor hours
Feb. 18, 2008
DM Labor Hours
Total Manufacturing Cost of Job
AllocationBase
Unit
Used
(Hours)
1.08
Allocation
Base
Rate
$
2.00
Total Costs
$
2.16
$26.57
Marketing Strategy
We pride our business on customer
word-of-mouth experiences, and have
been able to increase our revenue
each quarter with our successful
reputation. We advertise our products
in the Chicago Cookie Magazine.
Furthermore, we offer a customer
rewards card; Buy 10 packages of
cookies, receive the 11th free!
Distribution Channels:
Come in to our storefront to
experience the sweetest taste in
Chicago! We are located at 4 N
Michigan Avenue Chicago, IL 60610
Manufacturing Process
Successfulness :
Our company was a huge success at the
Chopping Block. We managed our time efficiently
and successfully, having enough time to prep,
trategies we would employ
to be more successful in
the future:
bake, cool, and decorate the cookies.
Try the recipe out beforehand, to see
how many sugar cookies the recipe
actually yields instead of calls for. Be
more efficient when shopping for
ingredients. For instance, try to buy
buttermilk in a smaller size so we don't
have as much wastage. Also we would
need to take into consideration time
wasted while waiting to use an oven.
What’s Sweeter Than Sweet? Sugar Sweet,
Inc.’s Sugar Cookies! Try One Today…
Please Visit Our Website:
http://www.students.depaul.edu/~jpalant1