Convad Company is one of the world's leading corn refiners.It produces two joint products, corn syrup and
Question:
Convad Company is one of the world's leading corn refiners. It produces two joint products, corn syrup and corn starch, using a common production process. In July 2014, Convad
reported the following production and sales price information:
Corn syrup | Cornstarch | joint costs | |
Joint costs (corn processing costs up to point of separation) | $328,000 | ||
Separable cost of processing beyond the separation point | $ 395,100 | $83,100 | |
Beginning inventory (boxes) | 0 | 0 | |
Production and Sales (cases) | 12,800 | 5,700 | |
Ending inventory (boxes) | 0 | 0 | |
Sale price per box | $50 | $26 |
Requirement
Assign the joint costs of $328,000 using the NRV method. (Round weights to two decimal places.)
Corn syrup | Cornstarch | Total | |
Final sale value of total production | |||
Deduct separable costs | |||
VRN at the point of separation | |||
Weighing | |||
Joint assigned costs |
Cost Accounting A Managerial Emphasis
ISBN: 978-0133392883
6th Canadian edition
Authors: Horngren, Srikant Datar, George Foster, Madhav Rajan, Christ