CH 10 Q3

CH 10 Q4

Calcion Industries produces two joint products, Y and Z. Prior to the split-off point, the company incurred costs of $38,000. Product Y weighs 25 pounds and product Z weighs 75 pounds. Product Y sells for $150 per pound and product Z sells for $125 per pound. Based on a physical measure of output, allocate joint costs to products Y and Z. Product Y allocation $ Product Z allocation \$ Variable manufacturing overhead is applied at $1.00 per unit. The other $0.30 of overhead consists of allocated fixed costs. Gent will need 6,100 units of part A for the next year's production. Cory Corporation has offered to supply 6,100 units of part A at a price of $7.00 per unit. If Gent accepts the offer, all of the variable costs and $1,200 of the fixed costs will be avoid A ralrilato the difforontial enct? B. Should Gent Designs accept the offer from Cory Corporation? Gent Designs