Question
Allocating joint cost Keiffer Production manufactures three joint products in a single process. The following information is available for August: Sales Value at Split-Off Cost
Allocating joint cost Keiffer Production manufactures three joint products in a single process. The following information is available for August:
| Sales Value | ||||
|---|---|---|---|---|
| at Split-Off | Cost after | Final Selling | ||
| Product | Gallons | per Gallon | Split-Off | Price |
| JP-4539 | 4,500 | $14.00 | $4.00 | $24.00 |
| JP-4587 | 18,000 | 25.00 | 5.00 | 35.00 |
| JP-4591 | 13,500 | 18.00 | 2.00 | 22.00 |
Allocate the joint cost of $558,000 to the production based on the following: a. number of gallons. Note: Round proportions to the nearest tenth of a percentage (i.e. round 13.45% to 13.5%) and dollar amounts to the nearest whole dollar.
| JP-4539 |
69,750
|
| JP-4587 |
279,000
|
| JP-4591 |
209,250
|
| Total |
558,000
|
b. sales value at split-off. Note: Round proportions to the nearest whole percentage (i.e. round 13.45% to 13%) and dollar amounts to the nearest whole dollar.
| JP-4539 |
Answer
|
| JP-4587 |
Answer
|
| JP-4591 |
Answer
|
| Total |
558,000
|
c. approximated net realizable values at split-off. Note: Round proportions to the nearest whole percentage (i.e. round 13.45% to 13%) and dollar amounts to the nearest whole dollar.
| JP-4539 |
Answer
|
| JP-4587 |
Answer
|
| JP-4591 |
Answer
|
| Total |
558,000
|
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Computer Accounting Essentials With Microsoft Office Accounting 2007
Authors: Carol Yacht, Susan Crosson
1st Edition
0077233743, 978-0077233747
