1) Tippy Company operates a joint production process which produces 2 separate products: fidgets and widgets. Production during the year is 100,000 fidgets and 300,000 widgets. Total joint manufacturing costs for the year are $3,200,000. Fidgets can be sold at the split-off point for $40 each. Widgets require $5,000,000 in additional processing costs before being sold. After further processing, widgets can be sold for $50 each. There was no beginning inventory of either product. During the year Deal sold 75,000 fidgets and 225,000 widgets. Required: A. Allocate the joints costs using the net realizable value method. What is the total cost per unit of fidgets and widgets? (7 points) NRV-Method

1) Tippy Company operates a joint production process which produces 2 separate products: fidgets and widgets. Production during the year is 100,000 fidgets and 300,000 widgets. Total joint manufacturing costs for the year are $3,200,000. Fidgets can be sold at the split-off point for $40 each. Widgets require $5,000,000 in additional processing costs before being sold. After further processing, widgets can be sold for $50 cach. There was no beginning inventory of either product. During the year Deal sold 75,000 fidgets and 225,000 widgets. Required: A. Allocate the joints costs using the net realizable value method. What is the total cost per unit of fidgets and widgets? (7 points) NRs - Metrud