11. [Answer & Solving Process] The Green Company processes unprocessed goat milk up to the split- off point where two products, condensed goat milk and skim goat milk, result. The following information was collected for the month of October: Production: Condensed goat milk Skim goat milk 40,000 gallons 60,000 gallons Joint costs: $180,000 Sales at split-off point: Condensed goat milk $4 per gallon Skim goat milk $3 per gallon There were no inventory balances of either product. Condensed goat milk may be processed further to yield 40,000 gallons of a medicinal milk product, Xyla, for an additional processing cost of $160,000 in total. Xyla can be sold for $20 per gallon. Skim goat milk can be processed further to yield 60,000 gallons of skim goat ice cream, for an additional processing cost of $180,000 in total Skim goat ice cream can be sold for $9 per gallon. If Green Company allocates joint costs based on relative net realizable value (NRV), what amount of the joint costs would be allocated to Xyla? (Round final answers to the nearest integer.) 1 $115,200 2 $84,706 3 $107,463 4 $64.800 6 $640,000