Part 1 Fruit Inc. buys apples by the truckload in season and separates them into three categories: premium, good, and fair. Premium apples can be sold as is to supermarkets. Good apples are sliced and canned in syrup and then sold to supermarkets. Fair apples are considered a by-product and sold to Jelly Inc., which processes it into jelly. Fruit Inc. has 2 processing departments: Cleaning and Sorting Department which is a joint process and Cutting and Canning Department which is a separable cost. After the products have been processed the product must go through the packaging department before the product can be considered finished goods. During the month, the company incurred the following costs: Fruit Inc. uses a predetermined overhead rate of: $15,000 Cost of truckload of Apples $700 Cost of direct labor to sort the apples. 40% Direct labor cost Below are additional information on additional costs and final sales value resulting from the truckload of apples processed. Cutting and canning Department costs Packaging cost Total final sales value Premium Good Fair $0 $1,500 $30,000 $2,000 $0 $2,200 $500 $15,000 $4,500 Required: You will need to use cell references in the development of your solution. a. Determine the joint cost. b. Develop a table to show the allocation of joint costs using the approximated net realizable value at split-off method, assuming that the by-product is recorded when realized and is shown as other income on the income statement. c. Using the allocation from "b", prepare all the necessary entries to account for the purchase of the apples on account through the processing of the different type of apples. Assume all apples are 100% processed by the end of the month and all 3 types of apples are sold at the final sales value on account. The company uses a perpetual inventory system. Please provide a description of the entry under each journal entry. Provide your solution in order of requirements below using cell referencing for all numbers being used or formulas for all calculations. Your journal entries must be in good form using proper accounting titles.