The Everett Recycling Company (ERC) purchases old water and soda bottles and recycles them to produce plastic cowers for outdoor furniture. The company processes the battles in a special piece of equipment that first melts, then reforms the plastic into large shests that are cut to size, The edges from the cut pieces are sold for use as package filer. The liler is considered a byproduct. ERC can produce 28 table covers. 77 dair covers and pounds of package filled from 100 pounds af battles (Click the icon to view additional information.) Read the ecuirementa Requirement 1. Assume that ERC alkacates the joint costs to table and chair extvers using the saks value at spital method and xxunts for the byproduct using the production method. What is the ending inventory cost for each garctic and goes margin for ERC? First alocate the joint costs. Round the weighting values to two decimal places.) Table Covers Chair Covers Total Sales values at splitoff Weighting Joint costs allocated - X Requirements More info In June, ERC had no beginning inventory. It purchased and processed 170,000 pounds of battles at a cost of $1,020,000. ERGO 21.000 tablc cxtvers for $13 bach, 78,000 chair covers for $4 each, and 3,000 pounds of package filer at $0.70 per pound 1. Assume that ERC allocates the joint costs to table and chair covers using the salus value at salitaff method and axils for the byproduct using the production method What is the ending inventory cost for each product and grass rugin for ERC? 2. Assume that ERC allocates the joint costs to table and chair exivers using the sales value at splitoff method and accounts for the byproduct using the sales method. What is the ending inventory cost for each product and gross margin fox ERC? 3. Discuss the difference between the two methods of counting for bytas, focusing on what conditions are necessary to use each method. Print Done Print Done Clear all Check answer The Everett Recycling Company (ERC) purchases old water and soda bottles and recycles them to produce plastic cowers for outdoor furniture. The company processes the battles in a special piece of equipment that first melts, then reforms the plastic into large shests that are cut to size, The edges from the cut pieces are sold for use as package filer. The liler is considered a byproduct. ERC can produce 28 table covers. 77 dair covers and pounds of package filled from 100 pounds af battles (Click the icon to view additional information.) Read the ecuirementa Requirement 1. Assume that ERC alkacates the joint costs to table and chair extvers using the saks value at spital method and xxunts for the byproduct using the production method. What is the ending inventory cost for each garctic and goes margin for ERC? First alocate the joint costs. Round the weighting values to two decimal places.) Table Covers Chair Covers Total Sales values at splitoff Weighting Joint costs allocated - X Requirements More info In June, ERC had no beginning inventory. It purchased and processed 170,000 pounds of battles at a cost of $1,020,000. ERGO 21.000 tablc cxtvers for $13 bach, 78,000 chair covers for $4 each, and 3,000 pounds of package filer at $0.70 per pound 1. Assume that ERC allocates the joint costs to table and chair covers using the salus value at salitaff method and axils for the byproduct using the production method What is the ending inventory cost for each product and grass rugin for ERC? 2. Assume that ERC allocates the joint costs to table and chair exivers using the sales value at splitoff method and accounts for the byproduct using the sales method. What is the ending inventory cost for each product and gross margin fox ERC? 3. Discuss the difference between the two methods of counting for bytas, focusing on what conditions are necessary to use each method. Print Done Print Done Clear all Check
