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GEORGIA ORCHARDs Income Statement For Year Ended December 31, 2817 No. 1 No. 2 No. 3 Combined Sales (by grade) No. 1: 247,508 Ibs. $1.88/1b
GEORGIA ORCHARDs Income Statement For Year Ended December 31, 2817 No. 1 No. 2 No. 3 Combined Sales (by grade) No. 1: 247,508 Ibs. $1.88/1b No. 2: 247,500 Ibs$1.4a/1 No. 3: 792,080 Ibs.s0.25/b Total sales $445, 500 346, 580 s 198,800 s998,ee0 Costs Tree pruning and care se.3/Ib Picking, sorting, and grading $0.20/Ib Delivery costs Total costs 74,250 74,25 237,600 386,180 49,580 49,500 158,480 257,488 67,600 133,750 138,750 433,600 711,100 306,750 $207,750 S(235, 600) $278, 980 15,e 15,000 37,600 Net income (loss) In preparing this statement, the company allocated joint costs among the grades on a physical besis as an equal amount per pound, The company's delivery cost records show thet $30,000 of the $67600 relotes to crating the No. 1and No. 2 peaches and hauling them to the buyer. The remaining $37600 of delivery costs is for crating the No. 3 peaches and hauling them to the cennery Problem 22-5AC Part 1 Required: 1. Prepore reports snowing cost allocations on a so es value bssis to the thhee grades of peaches Sepsrate the delivery costa into the grade (Do not round intermediate caiculations,)
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