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a. Assuming that Forest Products continues to use the physical quantities method of allocation and to manufacture and sell FP-10 and FP-20. What joint costs
a. Assuming that Forest Products continues to use the physical quantities method of allocation and to manufacture and sell FP-10 and FP-20. What joint costs would be allocated to FP-10 and FP-20? b. There is a possibility that a market for FP-10 and FP-20 at split-off will develop. In other words, it will be possible to sell the two products rather than process them further. At what sales value (at split-off) would Forest Products be indifferent between selling them at split-off and processing them further? c. At what sales value (at split-off) would Forest Products be indifferent between selling them at split-off and processing them further, in case the disposal cost for FP-40 increases to $150,000 for every 55,000 units of FP-40 produced? Complete this question by entering your answers in the tabs below. There is a possibility that a market for FP-10 and FP-20 at split-off will develop, In other words, it will be possible to sell the two products rather than process them further. At what sales value (at split-off) would Forest Products be indifferent between seling them at split-off and processing them further? Forest Products, Incorporated, manufactures three products (FP-10, FP-20, and FP-40) from a single, joint input. None of the products can be sold without further processing. In November, joint product costs were $240,000. Additional information follows: The sale of FP-40 has been banned by a recent law, If FP-40 is produced, disposal in an approved manner costs $120,000 for every 55,000 units produced. Required: a. Assuming that Forest Products continues to use the physical quantities method of allocation and to manufacture and sell FP-10 and FP-20. What joint costs would be allocated to FP-10 and FP-20? b. There is a possibility that a market for FP-10 and FP-20 at split-off will develop. In other words, it will be possible to sell the two products rather than process them further. At what sales value (at split-off) would Forest Products be indifferent between selling them at split-off and processing them further? c. At what sales value (at split-off) would Forest Products be indifferent between selling them at split-off and processing them further, in case the disposal cost for FP-40 increases to $150,000 for every 55,000 units of FP-40 produced? * Answer is not complete. Complete this question by entering your answers in the tabs below. a. Assuming that Forest Products continues to use the physical quantities method of allocation and to manufacture and sell FP-10 FP-20. What joint costs would be allocated to FP-10 and FP-20? b. There is a possibility that a market for FP-10 and FP-20 at split-off will develop. In other words, it will be possible to sell the two products rather than process them further. At what sales value (at split-off) would Forest Products be indifferent between sellin them at split-off and processing them further? c. At what sales value (at split-off) would Forest Products be indifferent between selling them at split-off and processing them furt in case the disposal cost for FP-40 increases to $150,000 for every 55,000 units of FP-40 produced? Complete this question by entering your answers in the tabs below. At what sales value (at split-off) would Forest Products be indifferent between selling them at split-off and processing them further, in case the disposal cost for FP-40 increases to $150,000 for every 55,000 units of FP-40 produced? Required: a. Assuming that Forest Products continues to use the physical quantities method of allocation ano to manufacture and sell FP FP-20. What joint costs would be allocated to FP-10 and FP-20? b. There is a possibility that a market for FP-10 and FP-20 at split-off will develop. In other words, it will be possible to sell the ti products rather than process them further. At what sales value (at split-off) would Forest Products be indifferent between se them at split-off and processing them further? c. At what sales value (at split-off) would Forest Products be indifferent between selling them at split-off and processing them 1 in case the disposal cost for FP-40 increases to $150,000 for every 55,000 units of FP-40 produced? Answer is not complete. Complete this question by entering your answers in the tabs below. Assuming that Forest Products continues to use the physical quantities method of allocation and to manufacture and sell FP-10 and FP-20. What joint costs would be allocated to FP-10 and FP-20? Note: Do not round intermediate calculations
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