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A factory produces two products as P and Q, which incurred a joint cost of OMR 30,000. The percentage of profit was estimated as 20%
A factory produces two products as P and Q, which incurred a joint cost of OMR 30,000. The percentage of profit was estimated as 20% and 25% for P and Q on their selling prices. Selling prices of products are: P- OMR 25,000 and Q - OMR 35,000. Determine the estimated total cost for P and Q if net realisable value method is used for the allocation joint costs. a. P- OMR 15,000 Q-OMR 15,000 b. P- OMR 25,000 Q-OMR 35,000 c. P - OMR 20,000, Q-OMR 26,250 d. P- OMR 6,000 Q-OMR 24,000
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