Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Requirement 1 . Calculate how the joint costs of $ 4 5 comma 0 0 0 would be allocated between chocolate powder and milk chocolate

Requirement 1. Calculate how the joint costs of $ 45 comma 000 would be allocated between chocolate powder and milk chocolate under the different methods.
a. Sales value at splitoff method. Begin by entering the appropriate amounts to allocate the joint costs. (Round the weighting amounts to four decimal places.)
Joint costs
allocated
Chocolate powder
$4,500
Milk chocolate
40,500
Total
$45,000
Part 2
b. Allocate the joint costs using the physical measure method. Begin by entering the appropriate amounts to allocate the joint costs. (Round the weighting amounts to four decimal places.)
Joint costs
allocated
Chocolate powder
$18,000
Milk chocolate
27,000
Total
$45,000
Part 3
c. Allocate the joint costs using the net realizable value method. Begin by entering the appropriate amounts to allocate the joint costs. (Round the weighting amounts to four decimal places. Round the joint costs allocated to the nearest whole dollar.)
Joint costs
allocated
Chocolate powder
$17,217
Milk chocolate
27,783
Total
$45,000
Part 4
d. Constant gross-margin percentage NRV method. Begin by entering the appropriate amounts to allocate the joint costs. (Round the gross margin percentage to four decimal places, X.XXX%. Round all other calculations to the nearest whole dollar.)
Joint costs
allocated
Chocolate powder
$30,470
Milk chocolate
$14,530
Part 5
Requirement 2. What are the gross-margin percentages of chocolate powder and milk chocolate under each of the methods in requirement1?(Use parentheses or a minus sign when entering negative amounts. Round the percentages to the nearest hundredth percent, X.XX%.)
Chocolate powder
Milk chocolate
a. Sales value at splitoff
%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Video Basics

Authors: Herbert Zettl

6th Edition

0495569437, 9780495569435

More Books

Students also viewed these Accounting questions