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Allocating Joint Costs Using the Net Realizable Value Method A company manufactures three products, L-Ten, Triol, and Pioze, from a joint process. Each production
Allocating Joint Costs Using the Net Realizable Value Method A company manufactures three products, L-Ten, Triol, and Pioze, from a joint process. Each production run costs $12,200. None of the products can be sold at split-off, but must be processed further. Information on one batch of the three products is as follows: Further Processing Product Gallons Cost per Gallon Eventual Market Price per Gallon L-Ten 3,500 $0.40 $2.80 Triol 4,000 0.90 5,30 2,300 1.00 6.00 Pioze Required: 1. Allocate the joint cost to L-Ten, Triol, and Pioze using the net realizable value method. Round your allocation percentages to four decimal places and round the allocated costs to the nearest dollar. Grades -Ten Triol Pioze Total Joint Cost Allocation
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