1.) A given raw material costs a manufacturing company $42 per unit to process. The company processed 1,000 units of the input material, though which they manufactured 300 units of product 1, and 400 units of product 2. However, the process produced 1,000 units of a by-product. The selling price of the by-product is $7 after incurring $2 separable cost.

The company uses the Physical-Measure method in its joint cost allocation and the net-realizable-value method for its by-products. The joint cost assigned to the by-product is closest to:

A. $7,000

B. $5,000

C. $2,000

D. $0

2.) A given raw material costs a manufacturing company $42 per unit to process. The company processed 1,000 units of the input material, though which they manufactured 300 units of product 1, and 400 units of product 2. However, the process produced 1,000 units of a by-product. The selling price of the by-product is $7 after incurring $2 separable cost.

The company uses the Physical-Measure method in its joint cost allocation and the zero-cost method

A. $18,000

B. $24,000

C. $12,600

D. $29,400