Required information [The following information applies to the questions displayed below.) Georgia Orchards produced a good crop of peaches this year. After preparing the following income statement, the company is concemed about the net loss on its No. 3 peaches. GEORGIA ORCHARDS Incon Statement Tor Year Tedad December 31, 2013 No. 1 No. 2 No, Combined Sales (by grade) So. 1: 111,000 The.. $2.10/15 5415,00 So. 2: 191.000 The.. $1.90/1b 5376,200 No. 3: 50,000 lbs.. $0.20/1b $ 190,000 Total sales 5990,00 Costa Tree prening and care. $0.30/1b 59.40 59,400 297, DD 415,800 Picking, zorting, and grading . $0.20/15 39,60 39, 198,00 277,200 Delivery cat 15,700 15,00 38,200 69,00 Total corte 114,700 114,70 533,200 762, Net Incoros) 5301,200 5261,500 $ (335,200) 5227,400 In preparing this statement, the company allocated joint costs among the grades on a physical basis as an equal amount per pound. The company's delivery cost records show that $21,400 of the $69,600 relates to crating the No. 1 and No. 2 peaches and hauling them to the buyer. The remaining $29,200 of delivery costs is for crating the No. 3 peaches and hauling them to the cannery. Required: 1. Prepare reports showing cost allocations on a sales value basis to the three grades of peaches Separate the delivery costs into the amounts directly identifiable with each grade. Then allocate any shared delivery costs on the basis of the relative sales value of each grade. (Do not round Intermediate calculations.) Tree Pruning and Care Grade Allocation Base Nos x Indirect Cost Allocated Cost Percent of Allocation Base Numerator Denominator % of Total No. 1 No. 2 No. 3 Totals Picking, Sorting, and Grading Grade Allocation Base Nos No. 1 x Indirect Cest Allocated Coat Percent of Allocation Base Numerator Denominator % of Total No. 2 No. 3 Totals Delivery Grade Nos No. 1 No. 2 Allocation Base x Indirect Cest Allocated Coat Percent of Allocation Base Numerator Denominator % of Total No. 3 Totals ! Required information (The following information applies to the questions displayed below.) Georgia Orchards produced a good crop of peaches this year. After preparing the following income statement, the company is concerned about the net loss on its No. 3 peaches. GEORGIA ORCHARDS Income Statement For Year Ended December 31, 2019 No. 1 No. 2 No. 3 Combined Sales (by grade) No. 1: 199,000 Ibs. $2.10/lb $415,800 No. 2: 198,000 lbs. $1.90/1b $376,200 No. 3. 990,000 Ibs. $0.20/1b $ 199,000 Total sales $ 990,000 Costs Tree pruning and care $0.30/lb 59,400 59,400 297,000 415,800 Picking, sorting, and grading # $0.20/1b 39,600 39,600 198,000 277,200 Delivery costs 15,700 15,700 38,200 69,600 Total costs 114,700 114,700 533,200 762,600 Net income (loss) $301,100 $261,500 $(335,200) $227,400 In preparing this statement, the company allocated joint costs among the grades on a physical basis as an equal amount per pound. The company's delivery cost records show that $31,400 of the $69,600 relates to crating the No. 1 and No. 2 peaches and hauling them to the buyer. The remaining $38,200 of delivery costs is for crating the No. 3 peaches and hauling them to the cannery. 2. Using your answers to part 1, prepare an income statement using the joint costs allocated on a sales value basis. (Do not round intermediate calculations.) GEORGIA ORCHARDS Income Statement For Year Ended December 31, 2019 No. 1 No. 2 No.3 Combined Costs Total costs