Tampa Tomatoes reports the following sales data for the year ended December 31. Grade of Tomatoes No. 1 Sales $600,000 No. 2 No. 3 Total 350,000 50,000 $1,000,000 The company incurred the following joint costs for the year. Land preparation, seeding, and cultivating Harvesting, sorting, and grading Required $700,000 40,000 1. Use the value basis to allocate joint costs to the three grades of tomatoes. 2. Compute gross profit for each of the three grades of tomatoes.