In a manufacturing company 10,000 kl of “A” is processed to produce 6,000 kl of “B” and 4,000 kl of “C”.

The joint cost before the separation point came to an amount of Rs. 24,000. From the following particulars, calculate the apportionment of joint cost and the profi t of each product under

(a) physical measurement (b)

market value at separation point and

(c) market value after further processing.

Transcribed Image Text:

B C Rs. Rs. Unit selling price at separation point 5 3-75 Unit selling price after further 7 7-50 processing Further processing costs after 5,000 7,500 separation