Question 1.

The Alfarm Corporation processes raw milk up to the split-off point where two products, cream and liquid skim, are produced and sold. There was no beginning inventory. The following material was collected for the month of February:

Production : Cream 445,000 liters

Liquid skim 293,000 liters

Selling price : Cream $11 per liter

Liquid skim $10 per liter

The cost of purchasing direct materials and processing it up to the split-off point was $2,350,000.

Required: When using the relative sales-value method, what is Cream's approximate joint cost per liter? (Round your final answer to 2 decimal place).

Question 2.

Roundup Corps cost of goods sold for the year totaled $259,000. Beginning and ending finished-goods inventories were $47,000 and $36,000, respectively. Roundups sales revenue for the year was $488,000 and its operating expenses were $110,000.

Required: What is the cost of goods manufactured (COGM)?

Please solve this two questions with all the process of details