). Bowflex produces two types of weights: high and low density. Both types of weights go through a joint production process where the steel is melted and molded. The joint process costs a total of $150 per batch.

After the split-off point, high-density steel goes through an additional compression process, whereas low-density steel is immediately sold for $2 per pound. One batch produces 200 pounds of low-density steel and 120 pounds of high-density steel. The additional processing of the high-density steel costs $135 per batch, and the high-density steel is then sold for $3 per pound.

1. Calculate the joint production cost to be allocated to the low- and high-density steel using the physical units method.
2. Calculate the joint production cost to be allocated to the low- and high-density steel using the net realizable value method.