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PetToy Products produces two products, A and B, in a single process. In 2009, the joint costs of this process were $25,000. In addition, 4,000

PetToy Products produces two products, A and B, in a single process. In 2009, the joint costs of this process were $25,000. In addition, 4,000 units of A and 6,000 units of B were produced. Separable processing costs beyond the split-off point were A - $10,000; B - $20,000. A sells for $10.00 per unit; B sells for $7.50 per unit.

  1. What amount of joint costs will be allocated to each product using the physical units method?
  2. What amount of joint costs will be allocated to each product using the estimated net realizable value method?

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