Orchard Fresh, Inc., purchases apples from local orchards and sorts them into four categories. Grade A are large blemish-free apples that can be sold to gourmet fruit sellers. Grade B apples are smaller and r packed in boxes and sold to grocery stores. Apples for slices are even smaller than Grade B apples and have blemishes. Apples for applesauce are of lower grade than apples for slices, yet still suitable for can Information on a recent purchase of 20,000 pounds of apples is as follows: Assume that Orchard Fresh, Inc., uses the sales-value-at-split-off method of joint cost allocation and has provided the following info Price at Split-off Grades Pounds (per Ib.) Grade A Grade B Slices Applesauce 5,600 1,400 4,000 9,000 $4.00 1.00 0.50 0.10 Tota 20,000 Total joint cost is $21,000 Required 1. Allocate the joint cost to the four grades of apples using the sales-value-at-split-off method. Round your allocation percentages to four decimal places and round the allocated costs to the nearest dollar Joint Cost Grades Grade A Grade B Slices Applesauce Allocation Total 2. What if the price at split-off of Grade B apples increased to $1.20 per pound? How would that affect the allocation of cost to Grade B apples? How would it affect the allocation of cost to the remaining grades? Round y four decimal places and round the allocated costs to the nearest dollar. Joint Cost Grades Grade A Grade B Slices Applesauce Allocation Total