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Breakfast Cereal Company manufactures two breakfast cereals in a joint process cost and quantity Information is as follows: Joint Cost $96.000 Cereal Quantity at Spin-Off
Breakfast Cereal Company manufactures two breakfast cereals in a joint process cost and quantity Information is as follows: Joint Cost $96.000 Cereal Quantity at Spin-Off Point Yummies 12,600 kilograms Crummies 8,600 kilograms Sales Price per kilogram $6.60 810 Breakfasttime Cereal Company has an opportunity to process its Crummies further into a much for ornamental shrubs. The additional processing operation costs $2.10 per kilogram, and the much will sell for $13.50 per kilogram 133 points Required: 1.a. Compute the net incremental revenue per kilogram if management decide to process Crummies into the mulch (Round your answer to 2 decimal places.) Not incremental revenue per kilogram 1.b. Should Breakfasttime's management decide to process Crummies into the much? Yes O No References eBook & Resources Exercise Diculty: Medium Learning Obiective physical units met Check my work 135 points O Type here to search 1-a. Compute the net incremental revenue per kilogram if management decide to process Crummies into the mulch you 1.b. Should Breakfasttime's management decide to process Crummies into the mulch? Yes NO References eBook & Resources Exercise Difficulty: Medium Check my work 6. value: 135 points 2. Suppose the company does process Crummies into the mulch. Use the net realizable-value method to allocate the joint production cost between the mulch and the Yummies (Round your calculation of relative proportions to 3 decimal places.) Allocation of Joint Cost Yummies Mulch References Book & Resources Exercise Dimculty: Medium 1 O Type here to search
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