Problem A Almond Delights is an almond grower. They have two primary products Premium Almonds and Choice Almonds. One acre of almond trees yields about 600 pounds of Premium and 1,400 pounds of Choice almonds at a cost of $6,000. A pound of Premium Almonds can be sold for $6.68. A pound of Choice can be sold for $4.28. Almond Delights further processes the 1,400 pounds of Choice almonds into 175 gallons of All Natural Almond Butter at an additional cost of $2,500. All Natural Almond Butter is sold for $40 per gallon. The 400 pounds of Premium Almonds is further processed into 450 pounds of Chocolate Almond Delights at an additional cost of $900. Each pound of Chocolate Almond Delights is sold for $12. 5.

5.What would gross profit be for Chocolate Almond Delights under the sales value at split-off method?

6. What would gross profit be for Chocolate Almond Delights under the NRV method?

7. What is the company's profit or loss when Premium almonds are further processed into Chocolate Almond Delights? (Enter a loss in parentheses.)

8. What is the company's profit or loss when Choice almonds are further processed into All Natural Almond Butter? (Enter a loss in parentheses.)