Alocating Joint Costs Using the Physical Unt Method Orchard Fresh Inc, purchases apples from cal orcherds and sorts them into four categories Grade A be large blemis-tree soples that can be sold to gourmet fruit selers Grade Bapoles are smaller and may be slightly out of proportion. These are packed in boxes and sold to grocery stores Apoles for slices are even smaller than Grade Basples and have blemishes. Apples for applesauce are of lower gradetan applesfer slices, yet still suitable for canning Information on a recent purchase of 24,000 pounds ct apples is as follows: Grades Pounds Grade: - 920 Grade 6,000 Sllos & 100 Applesauce Tran 24.com Total Jont cost is $15,200 Required: 1. Alkcate the joint cost to the four Dades of apples using the physical units method. Joint Cast Grude Allocation Grade A Grades Cle sliga Applesauce Tot 2. Allocate the joint occt to the four pades of apoles by finding the average joint cost per pound and multipying it by the number of sounds in the grade. Round the average costanower to the nearest cent Averages per pound Joint Cast Grades Allocation GA Grades Slicu Aps 3. What if there were 2,400 pounds of Grade A apples and 5,520 pounds of Grade B? How would that afect the sllocation of cost to these two grades? How would It affect the location of cost to the remaining common grades? Grades Joint Cost Allocation 5 Grade A Grade Applesauce Alocating Joint Costs Using the Physical Unt Method Orchard Fresh Inc, purchases apples from cal orcherds and sorts them into four categories Grade A be large blemis-tree soples that can be sold to gourmet fruit selers Grade Bapoles are smaller and may be slightly out of proportion. These are packed in boxes and sold to grocery stores Apoles for slices are even smaller than Grade Basples and have blemishes. Apples for applesauce are of lower gradetan applesfer slices, yet still suitable for canning Information on a recent purchase of 24,000 pounds ct apples is as follows: Grades Pounds Grade: - 920 Grade 6,000 Sllos & 100 Applesauce Tran 24.com Total Jont cost is $15,200 Required: 1. Alkcate the joint cost to the four Dades of apples using the physical units method. Joint Cast Grude Allocation Grade A Grades Cle sliga Applesauce Tot 2. Allocate the joint occt to the four pades of apoles by finding the average joint cost per pound and multipying it by the number of sounds in the grade. Round the average costanower to the nearest cent Averages per pound Joint Cast Grades Allocation GA Grades Slicu Aps 3. What if there were 2,400 pounds of Grade A apples and 5,520 pounds of Grade B? How would that afect the sllocation of cost to these two grades? How would It affect the location of cost to the remaining common grades? Grades Joint Cost Allocation 5 Grade A Grade Applesauce
