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Sales-Value-at-Split-off Method Pagilla Company manufactures four products-andol, incol, ordol,and exsol-from a joint production process. The joint costs for onebatch are as follows: Direct materials $56,300
Sales-Value-at-Split-off Method
Pagilla Company manufactures four products-andol, incol, ordol,and exsol-from a joint production process. The joint costs for onebatch are as follows:
Direct materials | $56,300 |
Direct labor | 28,000 |
Overhead | 15,700 |
At the split-off point, a batch yields 1,000 andol, 1,500 incol,2,500 ordol, and 3,000 exsol. All products are sold at thesplit-off point: Andol sells for $20 per unit; incol sells for $75per unit; ordol sells for $64 per unit, and exsol sells for $22.50per unit.
Required:Allocate the joint costs using the sales-value-at-split-offmethod.
Andol | $ |
Incol | $ |
Ordol | $ |
Exsol | $ |
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