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Please answer question B, C and D. thank you tho. love you QUESTION 3 (8 marks) Amazing Ltd, manufactures the joint products, Mirakle and Norakle,
Please answer question B, C and D. thank you tho. love you
QUESTION 3 (8 marks) Amazing Ltd, manufactures the joint products, Mirakle and Norakle, Mirakle sells for $9.50 per unit, whereas Norakle sells for $17.00 per unit. The 2 products require further processing beyond the split-off point. The following information relates to the 2 products: Mirakle Norakle Production (units) 240,000 140,000 Separable costs $220,000 $320,000 Total joint processing costs were $1,180,000. Required: (a) Determine the total cost per unit of each of the products using the physical method. (Show all workings. You may prepare your working using WORD or EXCEL) (1 mark) (b) Determine the total cost per unit of each of the products using the net realisable value method. (Show all workings. You may prepare your workings using WORD or EXCEL) (3 marks) (c) Determine the total cost per unit of each of the products using the constant gross margin method. (Show all workings. You may prepare your workings using WORD or EXCEL) (2 marks) (d) "Norakle" could be further processed into "Orakle" for an additional cost of $5.00 per unit. "Orakle" would sell for $25.00 per unit. Should the company produce "Orakle"? Show the necessary computation to justify your decision. (Show all workings. You may prepare your workings using WORD or EXCEL) (2 marks) 9/9Step by Step Solution
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