Question
I only need help with problem 3 - just added other info and problems 1 & 2 for more information The following information relates to
I only need help with problem 3 - just added other info and problems 1 & 2 for more information
The following information relates to a joint production process for three products, with a total joint production cost of $160,000. There are no separable processing costs for any of the three products.
What amount of joint cost is allocated to each of the three products using the relative sales value method? - I know this is correct.
Product 1 = 120,000
Product 2 = 24,000
Product 3 = 16,000
2. What amount of joint cost is allocated to each of the three products using the physical units method? I know this is correct.
1. 20% x160,000=32000
2. 30%x 160,000 = 48000
3. 50% x 160,000 = 80,000
Product 1 = 32000
Product 2 = 48000
Product 3 =80,000
3. Assume that the total sales value at the split-off point for product 1 is $112,000 instead of $240,000 and the sales value of product 3 is $3,200 instead of $32,000. Assume also that the firm treats product 3 as a joint product and uses the net realizable value method for accounting for joint costs. There are no separable processing costs for product 3. What amount of joint costs would be allocated to the three products using the relative sales value method?(Round your intermediate percentage values to 2 decimal places (i.e. 24.35%) and final answers to nearest whole dollar amount.) - This is my problem - please help!
Product Sale Value % total
1 112,000 70% 109760
2 48000 30% 47040
3 3200 3200
163,200 156800
160000 - 3200 = 156800
70% x 156800 = 109760
30 % x 156800 = 47040
Per my mcgraw connect all of my product are incorrect - what am I doing wrong
Product 1 = should it = 109760
Product 2 - should it = 47040
product 3 - should it - 3200
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