indiana soy products (osp) buts soybeans and processes them into other soy products. each ton of soybeans that osp purchases for $250 can be converted for an additional $210 into 525lbs of soy meal and 80 gallons of soy oil. a pound of. oy meal can be sold af splitoff for $1.16 and soy oil can be sold in bulk for 4.25 per gallon

osp can process 525 products of soy meal into 625 pounds of soy cookies at an additional cost of $330. each pound of soy cookies can be sold for $2.16 per pound . the 80 gallons of soy oul can be packagaed at a cost of $250 and made into 320 quarts of soyola. each quart of soyola can br sold for $1.25

Requirement 1. Allocate the joint cost to the cookies and the Soyola using the (a) Sales value at splita a. First, allocate the joint cost using the Sales value at splitoff method. (Round the weights to three dec Cookies Soyolal Soy Meal Soy Oil Total Sales value of total production at splitoff Weighting Joint costs allocated b. Now allocate the joint cost to the cookies and the Soyola using the NRV method. (Round the weigh Cookies Soyola Total Final sales value of total production Deduct separable costs Net realizable value Weighting Joint costs allocated d e further that affect on the bile Requirement 2. Should OSP have processed each of the products further? What effect does the allocation method have on this decision? Begin by calculating the profit or loss that would occur it OSP processed the products further. (Use parentheses or a minus sign for losses.) Cookies Soyolal Soy Meal Soy Oil Seil at splitoff: Revenue Process further : NRV Profit (Loss) from processing further OSP should the soy meal because it profit. They should the soy oil because profit will Since the total joint cost is under both allocation methods, it ya relevant cost to the decision to sell at splitoff or process further. Enter any number in the edit fields and then continue to the next