$1.$calculate the amount of joint costs that should be assigned to the main products using the Net Realizable Value Method for allocation of joint costs. All calculations need to be done using formul Additionally, calculate for each $“$Honey$”,“$Wax$”,$ and $“$Honeycomb$”$ the:

a$.$ The cost per pound

b$.$ The gross profit per pound

c$.$ The gross profit percentage

$2.$  calculate the amount of joint

costs that should be assigned to the main products using the Constant Gross Margin Method

for allocation of joint costs. All calculations need to be done using formula

 

Washington Apiary Summary of costs and production Product: Honey Wax Honeycomb Propolis Note: All prices and costs are per pound. Sales price (without further processing) $ 3.00 $ 3.50 $ 5.00 $26.00 Note: the price for wax is what Wedgewood is proposing Cost of additional processing $ 5.00 $ 2.00 $ 10.00 Note: the apiary does produce royal jelly, but in insufficient quantities to be material to our calculations Sales Price (after futher processing) $ Pounds produced 24.00 $ 6,600 10.00 $ 6,000 15.00 5,000 200 o Joint Costs $ 65,000 1 2 Proft from Processing $ 105,600 $ 27,000 $ sales revenue 3 process per analysis? YES YES NO Joint Costs Yes No No Additional Processing Costs Gross Margin 4 final determination 5 6 1 Gross Margin Percentage 7 Honey Wax Honeycomb B sales revenue $ 158,400 Gross Margin per line additional processing costs $ 33,000 Total Costs ONet Realizable value $ 125,400 1 Percentage of NRV 2 B Sales Revenue $ 158,400 4 Joint Costs Allocated Additional Processing Costs Joint Costs Allocaqted Pounds Produced cost per pound gross profit per pound gross profit percentage 5 Addistional Processing Costs 5 Gross Profir 7 Pounds Produced B 9 cost per pound O gross profit per pound 1 gross profit percentage 2 Honey Wax Honeycomb Total