So Sweet Inc. processes cow's milk that produces two joint products - Cheese and Butter. At split-off, Cheese can be sold for $10.00 per pound and Butter can be sold for $20.00 per pound. It costs $150 to produce a batch of Cheese and Butter. Each batch contains 25 pounds of Cheese and 10 pounds of Butter. The sales manager has advised that a batch of 10 pounds of Butter can be processed further at an additional cost of $30. With this additional processing, the 10 pounds of Butter can be sold for $25.00 a pound. Using the net realizable value method, the cost allocated to Cheese is 579.79 $70.21 $66.67 $100.00