Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please solve for product 3 Required Information [The following information applies to the questions displayed below.] The following information relates to a joint production process

image text in transcribed

Please solve for product 3

Required Information [The following information applies to the questions displayed below.] The following information relates to a joint production process for three products, with a total Joint production cost of $145,000. There are no separable processing costs for any of the three products. Product 1 2 3 Sales Value at Split-Off $174,000 72,500 43,500 $ 298,080 Units at Split-OFF 560 980 1,260 2,880 Assume that the total sales value at the split-off point for product 1 is $72,500 Instead of $174,000 and the sales value of product 3 Is $2,900 Instead of $43,500. Assume also that the firm treats product 3 as a joint product and uses the net realizable value method for accounting for joint costs. There are no separable processing costs for product 3. What amount of joint costs would be allocated to the three products using the relative sales value method? (Round your Intermediate percentage values to 2 decimal places (I.e. 24.35%) and final answers to nearest whole dollar amount.) Answer is complete but not entirely correct. Product Allocated Joint Cost 71,078 1 IS 2 IS 71,078 2.844 3 IS

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

Students also viewed these Accounting questions