ABC Co. processes tomatoes into ketchup, tomato juice, and canned tomatoes. During the summer, the joint costs of processing the tomatoes were $240,000. There was no beginning or ending inventories for the summer. Production and sales value information for the summer were as follows:

Product Cases Additional Costs Selling price

Ketchup 100,000 $3 per case $28 per case

Juice 150,000 $5 per case $25 per case

Canned 200,000 $2.5 per case $10 per case

Required:

a. Determine the amount allocated to each product if the estimated net realizable value method is used.

b. Determine the amount allocated to each product if the physical units method is used.