Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

Blasto, Inc., operates several mines. At one, a typical batch of ore run through the plant yields three products: lead, copper, and manganese. At the

image text in transcribed
Blasto, Inc., operates several mines. At one, a typical batch of ore run through the plant yields three products: lead, copper, and manganese. At the split-off point, the intermediate products cannot be sold without further processing. The lead from a typical batch sells for $70,000 after incurring additional processing costs of $22,700. The copper is sold for $121,000 after additional processing costs of $13,500, and the manganese yield sells for $75,000 but requires additional processing costs of $14,800. The joint costs of processing the raw ore, including the cost of mining, are $255,000 per batch Required: Use the estimated net realizable value method to allocate the joint processing costs. (Do not round intermediate calculations.) $ Lead 47300 23 Approximate sales value at split off Percent of total sales values at split off Cost allocation $ Copper 107.500 50% Manganese $ 60.200 27%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions