26) An example of allocating joint costs using physical measures is allocating joint costs based on the A) sales value at split-off point B) volume of the products produced C) constant gross-margin percentage D) net realizable value 27) Which of the following is a is a market-based approach to allocating joint costs? A) sales units B) units of production C) physical measures D) net realizable value 28) How does the sales value at split-off method allocate joint costs? A) allocates joint costs to joint products on the basis of the relative total sales value at the split-off point B) allocates joint costs to joint products on the basis of a comparable physical measure at the split-off point C) allocates joint costs to joint products on the basis of relative NRV D) allocates joint costs to joint products in a way that each product has an identical gross-margin percentage 29) Bismite Corporation purchases trees from Cheney lumber and processes them up to the split-off point where two products (paper and pencil casings) are obtained. The products are then sold to an independent company that markets and distributes them to retail outlets. The following information was collected for the month of October: The cost of purchasing 310 trees and processing them up to the split-off point to yield 180,000 sheets of paper and 180,000 pencil casings is $12,500. Bismite's accounting department reported no beginning inventory. What is the total sales value at the split-off point for paper? A) $42,600 B) $34,000 C) $36,000 D) $43,200 30) 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: The costs of purchasing the of unprocessed goat milk and processing it up to the split-off point to yield a total of 102,000 gallons of saleable product was $188,480. There were no inventory balances of either product. Condensed goat milk may be processed further to yield 42,000 gallons (the remainder is shrinkage) of a medicinal milk product, Xyla, for an additional processing cost of $4 per usable gallon. Xyla can be sold for $20 per gallon. Skim goat milk can be processed further to yield 58,200 gallons of skim goat ice cream, for an additional processing cost per usable gallon of $4. The product can be sold for $12 per gallon. There are no beginning and ending inventory balances. What is the estimated net realizable value of the skim goat ice cream at the split-off point? A) $465,600 B) $476,000 C) $672,000