Allegheny River Sawmill manufactures two lumber products from a joint milling process. The two products developed are mine support braces (MSB) and unseasoned commercial building lumber (CBL). A standard production run incurs joint costs of $770,000 and results in 62,000 units of MSB and 92,000 units of CBL. Each MSB sells for $7, and each unit of CBL sells for $12.

1.Calculate the amount of joint cost allocated to the mine support braces (MSB) on a relative-sales value basis

2.Assume the commercial building lumber is not marketable at split-off but must be further planed and sized at a cost of $1,074,600 per production run. During this process, 10,200 units are unavoidably lost; these spoiled units have no value. The remaining units of commercial building lumber are saleable at $27.00 per unit. The mine support braces, although saleable immediately at the split-off point, are coated with a tarlike preservative that costs $270,000 per production run. The braces are then sold for $13.50 each. Using the net-realizable-value basis, compute the completed cost assigned to each unit of commercial building lumber.