Lipton Liquids produces three products by a joint production process. Raw materials are put into production...

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Lipton Liquids produces three products by a joint production process. Raw materials are put into production in Department 1, and at the end of processing in this department, three products appear. Alpha is sold at the split-off point with no further processing. Beta and Gamma require further processing before they are sold. Beta is processed in Department 2, and Gamma is processed in Department 3. Lipton Liquids uses the estimated net realizable value method of allocating joint production costs. No inventories were on hand at July 1, the beginning of the quarter. No raw material was on hand at September 30. All units on hand at September 30 were fully complete as to processing. Following is a summary of costs and other data for the period ended September 30: Products Units sold Units on hand at September 30 Sales revenues Departments Raw material cost Direct labor cost Manufacturing overhead Required: Alpha 32,400 81,000 $ 145,800 Beta 95,580 Gamma 113,400 64,800 $ 860,220 $ 1,190,700 1 2 3 $ 544,320 233,280 97,200 $ 0 393,174 102,546 $ 0 931,905 355,995 a. Determine the following amounts for each product: (1) estimated net realizable value used for allocating joint costs, (2) joint costs allocated to each of the three products, (3) cost of goods sold, and (4) finished goods inventory costs, September 30. b. Assume that the entire output of Alpha could be processed further at an additional cost of $12.00 per unit and then sold for $16.30 per unit. Compute the incremental income from further processing Alpha. c. Considering the results of part b, should Lipton Liquids process Alpha further? 2 10 points Required: a. Determine the following amounts for each product: (1) estimated net realizable value used for allocating joint costs, (2) joint costs allocated to each of the three products, (3) cost of goods sold, and (4) finished goods inventory costs, September 30. b. Assume that the entire output of Alpha could be processed further at an additional cost of $12.00 per unit and then sold for $16.30 per unit. Compute the incremental income from further processing Alpha. c. Considering the results of part b, should Lipton Liquids process Alpha further? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required B Required C Determine the following amounts for each product: (1) estimated net realizable value used for allocating joint costs, (2) joint costs allocated to each of the three products, (3) cost of goods sold, and (4) finished goods inventory costs, September 30. Note: Round your percentages to 2 decimal places (i.e. .1234 = 12.34%). Do not round other intermediate calculations. Round your final answers to the nearest whole dollar amounts. Estimated Net Realizable Product Joint Costs Cost of Goods Sold Ending Inventory Values Alpha $ 5 $ 146,160 $ 1,020,960 $ 364,500 Beta 9 860,220 1,355,940 x 583,200 x Gamma 11 x 1,191,900 x 2,479,800 x 0 Total $ 25 $ 2,198,280 $ 4,856,700 $ 947,700 Show less Sales revenues Departments Raw material cost Direct labor cost Manufacturing overhead Required: $ 145,800 $ 800,220 1 2 3 $ 544,320 $ 0 233,280 97,200 393,174 102,546 $ 0 931,905 355,995 ,$1,190 a. Determine the following amounts for each product: (1) estimated net realizable value used for allocating joint costs, (2) joint costs allocated to each of the three products, (3) cost of goods sold, and (4) finished goods inventory costs, September 30. b. Assume that the entire output of Alpha could be processed further at an additional cost of $12.00 per unit and then sold for $16.30 per unit. Compute the incremental income from further processing Alpha. c. Considering the results of part b, should Lipton Liquids process Alpha further? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required B Required C Assume that the entire output of Alpha could be processed further at an additional cost of $12 per unit and then sold for $16.30 per unit. Compute the incremental income (loss) from further processing Alpha. Incremental loss $348,300 0 < Required A Required C > Lipton Liquids produces three products by a joint production process. Raw materials are put into production in Department 1, and at the end of processing in this department, three products appear. Alpha is sold at the split-off point with no further processing. Beta and Gamma require further processing before they are sold. Beta is processed in Department 2, and Gamma is processed in Department 3. Lipton Liquids uses the estimated net realizable value method of allocating joint production costs. No inventories were on hand at July 1, the beginning of the quarter. No raw material was on hand at September 30. All units on hand at September 30 were fully complete as to processing. Following is a summary of costs and other data for the period ended September 30: Products Units sold Units on hand at September 30 Sales revenues Departments Raw material cost Direct labor cost Manufacturing overhead Required: Alpha 32,400 81,000 $ 145,800 Beta 95,580 Gamma 113,400 64,800 $ 860,220 $ 1,190,700 1 2 3 $ 544,320 233,280 97,200 $ 0 393,174 102,546 $ 0 931,905 355,995 a. Determine the following amounts for each product: (1) estimated net realizable value used for allocating joint costs, (2) joint costs allocated to each of the three products, (3) cost of goods sold, and (4) finished goods inventory costs, September 30. b. Assume that the entire output of Alpha could be processed further at an additional cost of $12.00 per unit and then sold for $16.30 per unit. Compute the incremental income from further processing Alpha. c. Considering the results of part b, should Lipton Liquids process Alpha further? 2 10 points Required: a. Determine the following amounts for each product: (1) estimated net realizable value used for allocating joint costs, (2) joint costs allocated to each of the three products, (3) cost of goods sold, and (4) finished goods inventory costs, September 30. b. Assume that the entire output of Alpha could be processed further at an additional cost of $12.00 per unit and then sold for $16.30 per unit. Compute the incremental income from further processing Alpha. c. Considering the results of part b, should Lipton Liquids process Alpha further? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required B Required C Determine the following amounts for each product: (1) estimated net realizable value used for allocating joint costs, (2) joint costs allocated to each of the three products, (3) cost of goods sold, and (4) finished goods inventory costs, September 30. Note: Round your percentages to 2 decimal places (i.e. .1234 = 12.34%). Do not round other intermediate calculations. Round your final answers to the nearest whole dollar amounts. Estimated Net Realizable Product Joint Costs Cost of Goods Sold Ending Inventory Values Alpha $ 5 $ 146,160 $ 1,020,960 $ 364,500 Beta 9 860,220 1,355,940 x 583,200 x Gamma 11 x 1,191,900 x 2,479,800 x 0 Total $ 25 $ 2,198,280 $ 4,856,700 $ 947,700 Show less Sales revenues Departments Raw material cost Direct labor cost Manufacturing overhead Required: $ 145,800 $ 800,220 1 2 3 $ 544,320 $ 0 233,280 97,200 393,174 102,546 $ 0 931,905 355,995 ,$1,190 a. Determine the following amounts for each product: (1) estimated net realizable value used for allocating joint costs, (2) joint costs allocated to each of the three products, (3) cost of goods sold, and (4) finished goods inventory costs, September 30. b. Assume that the entire output of Alpha could be processed further at an additional cost of $12.00 per unit and then sold for $16.30 per unit. Compute the incremental income from further processing Alpha. c. Considering the results of part b, should Lipton Liquids process Alpha further? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required B Required C Assume that the entire output of Alpha could be processed further at an additional cost of $12 per unit and then sold for $16.30 per unit. Compute the incremental income (loss) from further processing Alpha. Incremental loss $348,300 0 < Required A Required C >