Wisconsin Legislature: ATCP 103.15(5)(f)

ATCP 103.11(1)(1) Expense summaries from other functional categories shall be converted into unit costs. Expense totals shall be divided by a quantitative factor which accurately reflects the volume or level of activity for that expense total.

ATCP 103.11(2)(2) For dairy plant processing and packaging functions the following conversion factors shall be used; receiving—quart; pasteurizing and separating—points; bottle wash and sorting—quart equivalent (glass); fiber case handling—quart equivalent (paper); filling and casing-paper—quart equivalent; filling and casing-glass—quart equivalent; filling and casing-cottage cheese—pound; bulk wash and filling—gallon; processing-other products—quart equivalent; processing-special products—pound or other unit of weight or measure customarily used; cold room—case; processing ice cream mix—gallon; packaging ice cream—gallon; packaging novelties—dozen; hardening ice cream—gallon, or dozen (novelties); loading platform-milk—case; loading platform-ice cream—gallon, or dozen (novelties); loading platform-special products—pound or other unit of measure.

ATCP 103.11(3)(3) Expense summaries for each of the sales and distribution categories of sales, advertising and promotion shall be converted to unit cost on the following basis:

ATCP 103.11(3)(a)(a) Milk products on the basis of points as shown in s. ATCP 103.17, Table I.

ATCP 103.11(3)(b)(b) Ice cream and novelty products on basis of gallons.

ATCP 103.11(3)(c)(c) Special products on basis of the unit of quantity or measure in which they are customarily sold.

ATCP 103.11(3)(d)(d) Sales, advertising and promotion expense not specifically allocated to sales or distribution categories shall be summarized and charged to all products equally on the basis of total dollars of sales; provided none of such expense shall be charged to private label sales.

ATCP 103.11(4)(4) Each of the expense summaries for filling and casing-paper, filling and casing-glass, filling and casing-cottage cheese, and bulk washing and filling shall be further segregated into expenses and costs associated with specific package sizes. Total expenses for each of such functions shall be allocated to individual package sizes on the basis of the proportionate amount of time required to fill a normal day’s production volume based upon the rated machine or line speed expressed in units per minute. In the event of a recent and significant change in filling equipment or method, the period chosen to determine filling machine line speed shall be limited to the period subsequent to the change.

ATCP 103.11 HistoryHistory: Cr. Register, November, 1966, No. 131, eff. 12-1-66; am. Register, March, 1994, No. 459, eff. 4-1-94.

ATCP 103.12ATCP 103.12 Unit container cost.

ATCP 103.12(1)(1) Unit container cost shall be determined for each size and type of container.

ATCP 103.12(2)(2) In the case of glass containers the purchase price for each size and type of container shall be determined from purchase records. The purchase price shall be divided by the number of trips for each size and type of container to determine the unit trip cost. Trippage shall be determined from documented records. The cost of any additional packaging materials shall be added to the unit container cost. Container deposits actually charged to and collected from customers may be deducted from unit container cost.

ATCP 103.12(3)(3) Purchase price for plastic and paper containers shall be determined from purchase records, to which shall be added costs due to losses in filling and the cost of any additional packaging materials to arrive at unit container cost.

ATCP 103.12 HistoryHistory: Cr. Register, November, 1966, No. 131, eff. 12-1-66.

ATCP 103.13ATCP 103.13 Unit case cost. Unit case costs shall be determined for each type and size of case by dividing the purchase price by the number of trips per case. The cost per case trip shall be divided by the number of containers each case holds to determine the case cost per unit sold.

ATCP 103.13 HistoryHistory: Cr. Register, November, 1966, No. 131, eff. 12-1-66.

ATCP 103.14ATCP 103.14 Unit platform cost. The unit platform cost shall be determined for each product and package size. Platform cost includes all cost for material, labor and expense up to and including the loading of the product on the route truck and includes adjustments for sales returns. It includes all costs except local delivery cost. Selling, advertising and promotion costs and other general costs shall be determined on a per unit basis based on the number of points assigned to individual products and packages under s. ATCP 103.17, Table I.

ATCP 103.14 HistoryHistory: Cr. Register, November, 1966, No. 131, eff. 12-1-66; am. Register, January, 1975, No. 229, eff. 2-1-75; am. Register, March, 1994, No. 459, eff. 4-1-94.

ATCP 103.15ATCP 103.15 Distribution expense and cost.

ATCP 103.15(1)(1) The functions included in this category are route operations and supervision. The expenses shall include, but not be limited to, allocated garage expenses; allocated general and administrative expenses; salaries, commissions and fringe benefit expenses of route driver-salespersons, relief driver-salespersons, and their immediate supervisors; route truck operation expenses; all other direct expenses of route operation. Expenses which are not included in this category are salaries, commissions and fringe benefit expenses of driver-salespersons operating as promoters not assigned to regular delivery routes; route truck operation expense of trucks regularly driven by such promoters; operation expense of trucks used to haul products to a depot.

ATCP 103.15(2)(2) The expenses accumulated in this category shall be assigned to the distribution categories, whenever possible, on the basis of direct measurement or identification.

ATCP 103.15(3)(3) Garage expense shall be assigned to distribution categories on the basis of the number of vehicles normally assigned to each category, and on the basis of the unit factor cost determined in “garage expense.”

ATCP 103.15(4)(4) The expenses in this category which cannot be specifically identified and assigned to specific distribution categories shall be allocated to such categories on the basis of the number of distribution routes in each category.

ATCP 103.15(5)(5) The total of the expenses assigned to the wholesale distribution category shall be further computed in accordance with the following steps to arrive at the per unit wholesale delivery cost:

ATCP 103.15(5)(a)(a) Summarize all wholesale distribution expenses (labor and truck expenses).

ATCP 103.15(5)(b)(b) Summarize and total all routeperson’s time for all routes being analyzed. Total time shall be summarized in minutes.

ATCP 103.15(5)(c)(c) Divide total wholesale distribution expenses by the total number of delivery minutes to get delivery cost per minute.

ATCP 103.15(5)(d)(d) Multiply cost per minute by service time to get specific cost per delivery. For purposes of this calculation, the wholesaler shall use appropriate wholesale delivery services times for full service delivery, modified drop delivery and drop delivery as set forth in s. ATCP 103.17, Tables III, IV and V, unless the wholesaler submits documentation proving that the wholesaler’s actual delivery service times are different from those shown in the tables. Service time for warehouse delivery of milk products and wholesale ice cream deliveries shall be based on actual measurement.

ATCP 103.15(5)(e)(e) Multiply all time other than service time by cost per minute to get total common cost.

ATCP 103.15(5)(f)(f) Divide total common cost for all routes by the number of deliveries of all types to get common cost per delivery.

ATCP 103.15(5)(g)(g) Add specific cost to common cost to get total cost per delivery.

ATCP 103.15(5)(h)(h) Divide total cost per delivery by the number of points delivered, as determined by s. ATCP 103.17, Table II, to get delivery cost per unit.

ATCP 103.15 HistoryHistory: Cr. Register, November, 1966, No. 131, eff. 12-1-66; am. (5) (d), Register, January, 1975, No. 229, eff. 2-1-75; corrections made under s. 13.93 (2m) (b) 5., Stats., Register, April, 1993, No. 448; am. (5) (d) and (h), Register, March, 1994, No. 459, eff. 4-1-94.

ATCP 103.16ATCP 103.16 Total wholesale cost per unit. The total wholesale cost per unit shall be determined by adding to the unit platform cost, the delivery cost per unit.

ATCP 103.16 HistoryHistory: Cr. Register, November, 1966, No. 131, eff. 12-1-66.

ATCP 103.17ATCP 103.17 Tables.

TABLE I
PRODUCT POINT VALUES; MANUFACTURING

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