This document outlines the standard direct materials cost per gallon of Xonic Tonic. It lists the required materials at 3.5 pounds along with allowances for waste at 0.4 pounds and spoilage at 0.1 pounds. The purchase price is $2.70 per pound net of discounts, with $0.20 for freight and $0.10 for receiving and handling. To calculate the standard direct materials cost per gallon, the standard direct materials price is multiplied by the standard direct materials quantity.