Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Joint Cost Allocation-Physical Units Method 1 Blake's Blacksmith Co. produces two types of shotguns, a 12-gauge and 20-gauge. The shotguns are made through a

image text in transcribed

Joint Cost Allocation-Physical Units Method 1 Blake's Blacksmith Co. produces two types of shotguns, a 12-gauge and 20-gauge. The shotguns are made through a joint production process that ultimately produces 18 12-gauge shotguns and 12 20-gauge shotguns and costs a total of $4,000 per batch. After the split-off point, each type of shotgun goes through an additional crafting process before it is sold. The additional production process of the 12-gauge shotgun costs $18 per gun, after which it is sold for $180 per gun. The additional production process of the 20-gauge shotgun costs $26 per gun, after which it is sold for $146 per gun. Determine the amount of joint production costs allocated to each type of shotgun using the physical units method. Joint Product 12-gauge shotgun 20-gauge shotgun Totals Allocation

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Cost Accounting A Managerial Emphasis

Authors: Charles T. Horngren, Srikant M. Datar, Madhav V. Rajan

14th Global Edition

978-0273753872, 0273753878

More Books

Students also viewed these Accounting questions

Question

When should the project start?

Answered: 1 week ago