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[The following information applies to the questions displayed below.] Breakfasttime Cereal Company manufactures two breakfast cereals in a joint process. Cost and quantity information is as follows:

							Quantity at			Sales Price
Joint Cost						Cereal	Split-Off Point			per Kilogram
	$	100,000				Yummies		13,000	kilograms		$	7.00
						Crummies		9,000	kilograms			8.50

Breakfasttime Cereal Company has an opportunity to process its Crummies further into a mulch for ornamental shrubs. The additional processing operation costs $2.50 per kilogram, and the mulch will sell for $15.50 per kilogram.

2. Suppose the company does process Crummies into the mulch. Use the net-realizable-value method to allocate the joint production cost between the mulch and the Yummies. (Round intermediate calculations of "Relative Proportions" to 3 decimal places and final answers to the nearest dollar amount.)