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Q4. Taha Company produces joint three products: Product A, Product B, and Product C. During the year, joint costs of processing the three products were

Q4. Taha Company produces joint three products: Product A, Product B, and Product C.

During the year, joint costs of processing the three products were SAR400, 000. The following information were given to you as follows:

Product

Units

Produced

Selling price per unit at split-off point(SR)

Expenses per unit after split-off point ( (SR)

Selling price per unit after split-off point(SR)

A

400,000

20

20

40

B

400,000

18

15

28

C

800,000

12

14

17

Required:

a. Allocate the joint costs using the physical output method. [15 marks]

b. Allocate the joint costs using the net realizable value method. [15 marks]

c. Allocate the joint costs using sales value at split-off point method. [15 marks]

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