California Orchards reports the following sales data for the year ended December 31. Grade of Walnuts Number 1 Number 2 Number 3 Total Sales $ 489,600 326,400 204,000 $1,020,000 The company incurred the following joint costs for the year. Tree pruning and care Pickup, sorting, and grading $ 550,800 183,600 Required: 1. Use the value basis to allocate joint costs to the three grades of walnuts on the basis of sales value.