Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

4.1 You are required to calculate, using the market value method: 4.1.1 The total cost of the products which emerge at the split-off point. (7

4.1 You are required to calculate, using the market value method:

4.1.1 The total cost of the products which emerge at the split-off point. (7 marks)

4.1.2 Profit at the split-off point. (2 marks)

Assume products are sold at split-off point without further processing.

4.2 You are required to calculate, using the net realisable value method:

4.2.1 The total cost of the products which emerge at the split-off point. (7 marks)

4.2.2 Profit at the split-off point. (2 marks) Assume product YELLOW is subject to further processing cost of R1 600

image text in transcribed

image text in transcribed

4.1 You are required to calculate, using the market value method: 4.1.1 The total cost of the products which emerge at the split-off point. (7 marks) 4.1.2 Profit at the split-off point. (2 marks) Assume products are sold at split-off point without further processing. 4.2 You are required to calculate, using the net realisable value method: 4.2.1 The total cost of the products which emerge at the split-off point. (7 marks) 4.2.2 Profit at the split-off point. (2 marks) Assume product YELLOW is subject to further processing cost of R1 600 . Round to two decimals where applicable. Colourful (Pty) Ltd operates a manufacturing process that yields joint products BLUE and RED and a by-product, YELLOW. Total manufacturing costs of R250 000 were incurred during February 2023 for the manufacturing of the three products. BLUE and RED are subject to further processing costs of R35 000 and R90 500 respectively. REQUIRED: 4.1 You are required to calculate, using the market value method: 4.1.1 The total cost of the products which emerge at the split-off point. (7 marks) 4.1.2 Profit at the split-off point. (2 marks) Assume products are sold at split-off point without further processing. 4.2 You are required to calculate, using the net realisable value method: 4.2.1 The total cost of the products which emerge at the split-off point. (7 marks) 4.2.2 Profit at the split-off point. (2 marks) Assume product YELLOW is subject to further processing cost of R1 600 . Round to two decimals where applicable

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing Oracle E Business Suite Common Issues

Authors: Jeffrey T. Hare

1st Edition

1329529766, 978-1329529762

More Books

Students also viewed these Accounting questions

Question

2. List the advantages of listening well

Answered: 1 week ago