ACC319 Cost Accounting 2020 Fall Joseph Daly : 12/03/20 2:08 PM Homework: Chapter 16 and 22 Homework Save Score: 0 of 15 pts 7 of 7 (0 complete) HW Score: 0%, 0 of 100 pts E16-31 (similar to) is Question Help Rabito, Inc., is a large food-processing company. It processes 152,000 pounds of peanuts in the peanuts department at a cost of $183,000 to yield 12,000 pounds of product A, 72,000 pounds of product B, and 15,000 pounds of product C. (Click the icon to view the information.) The company wants to make a gross margin of 10% of revenues on product C and needs to allow 20% of revenues for marketing costs on product C. An overview of operations follows: Click the icon to view the overview.) Read the requirements. Requirement 1. Compute unit costs per pound for products A, B, and C, treating C as a byproduct. Use the NRV method for allocating joint costs. Deduct the NRV of the byproduct produced from the joint cost of products A and B. Let's begin by determining the formula to compute the joint costs allocated for product C by entering the appropriate amounts. = Joint costs allocated Requirements Figure 1. Compute unit costs per pound for products A, B, and C, treating C as a byproduct. Use the NRV method for allocating joint costs. Deduct the NRV of the byproduct produced from the joint cost of products A and B. Compute unit costs per pound for products A, B, and C, treating all three as joint products and allocating joint costs by the NRV method 2. Separable Costs Joint Costs $183,000 12,000 pounds Salting Department Processing $36,000 Salted Peanuts 12,000 pounds $9/11 Print Done Peanuts Department Processing of 152,000 lb Raw Peanuts 72,000 pounds $4/16 - X More Info Paste Department Processing $10,500 Peanut Butter 15,000 pounds $9/1b 15,000 pounds Product A is processed further in the salting department at a cost of $36,000. It yields 12,000 pounds of salted peanuts, which are sold for $9 per pound. Product B (raw peanuts) is sold without further processing at $4 per pound. Product C is considered a byproduct and is processed further in the paste department at a cost of $10,500. It yields 15,000 pounds of peanut butter, which are sold for 59 per pound. Splitoff Point Print Done Print Done Choose from any drop-down list and then click Check