Allocating common costs to joint products by assigned weights. The total costs of two joint products transferred
Question:
Allocating common costs to joint products by assigned weights. The total costs of two joint products transferred out of the final producing department of the Steinberg Company during June 19X6 were $160,000. As a result of the manufacturing process, 20,000 units of Marnate and 6,000 units of Selatate were produced. Based on the difficulty of handling the products, additional sales ef-
” forts necessary, and other factors, the cost accountant has decided to use the survey method to allocate costs. Each unit of Selatate has been assigned a weight |
of 2, and each unit of Marnate has been assigned a weight of 3. Determine the total cost to be assigned to each product for the month.
Step by Step Answer:
Cost Accounting Principles And Applications
ISBN: 9780070081529
5th Edition
Authors: Horace R. Brock