The Happy Cow manufacturing (THC) makes different types of cheeses and related products. Its most famous cheese is Queso Fresco. In order to make one pound of Queso Fresco, it requires 5 quarts of milk. THC processes milk in batches of 20,000 quarts. These 20,000 quarts of milk also yield whey, a common food supplement. For every quart, the milk will yield 1.75 pounds of whey. THC pays $1.5 for each gallon of milk. They make one batch per month. Each pound of cheese could be sold for $10/lbs, and each pound of whey could be sold for $1.5/lbs.

Note: there are 4 quarts in each gallon.

THC decides to process the Queso Fresco further and make and sell cheese fritters. THC would incur extra cost in operating the frying station and paying for the ingredients to make the fritters, it will incur a total of $10,000 per month to make this delicious treat. For each pound of cheese, they can produce 5 fritters that could be sold as a bundle of 4 for $12. At the same time, THC will go ahead and also process the whey further to produce Xanthan gum, a very popular food thickener used mostly in gluten-free flour. There is some loss in the process, so for every pound of whey processed, only 0.75 lbs of Gum is obtained. The price/lb of Gum is $4 and THC would incur an additional $5,000 expense for the process.

Under the NRV method, how much joint cost would be allocated to Xanthan gum?