The Rainbow Oil Company buys crude vegetable oil. Refining this oil results in four products at the splitoff point. A, B, C, and D. Product C is fully processed by the splitoff point. Products A, B, and D can individually be further refined into Super A, Super B, and Super D. In the most recent month (December), the output at the splitoff point was as follows: Click the icon to view the information.) Read the requirements Requirement 1. Compute the gross-margin percentage for each product sold in December, using the different methods for allocating the $60,000 joint costs. a. Sales Value at Splitoff. Begin by entering the amounts in the table and allocate the joint costs. (Enter the weights to four decimal places.) Sales value of total Joint costs production at splitoff Weighting 50,000 30,000 A allocated B D 60,000 20 60,000 Compute the gross margin percentage using the sales value at splitoff method to allocate the joint costs. (Enter a "0" for any cells with a zero balance. Round the percentages to two decimal places, XXX%. Use parentheses or a minus sign when entering negative amounts.) Super A Super B Super D Revenues EX Joint costs Separable costs Gross margin Gross margin percentage % Time Romaini.. - . . Product A, 253,000 gallons Product B, 92,000 gallons Product C, 69,000 gallons Product D, 46,000 gallons The joint costs of purchasing and processing the crude vegetable oil were $60,000. Rainbow had no beginning or ending inventories. Sales of product C in December were $60,000. Products A, B, and Dwere further refined and then sold. Data related to December are as follows: Separabla Processing Costs to Make Super Products Revenues Super A $ 271,000 $ 400,000 Super B 34,000 100,000 Super D 5,000 50,000 Rainbow had the option of selling products A, B, and D at the splitoff point. This alternative would have yielded the following revenues for the December production: Product A, $50,000 Product B, $30,000 Product D, $60,000 . Print Done The Rainbow Oil Company buys crude vegetable oil. Refining this oil results in four products at the split C, and D. Product C is fully processed by the splitoff point. Products A, B, and D can individually be furt Super A, Super B, and Super D. In the most recent month (December), the output at the splitoff point wa (Click the icon to view the information.) Read the requirements. Requirement 1 Compute the cross-marain percentage for each product sold in December using the diff method a. Sales four de Requirements A B B 1. Compute the gross-margin percentage for each product sold in December, using the following methods for allocating the $60,000 joint costs: a. Sales value at splitoff b. Physical-measure c. NRV 2. Could Rainbow have increased its December operating income by making different decisions about the further processing of products A, B, or D? Show the effect on operating income of any changes you recommend. D D Compul for any sign wh Print Done Revenue Joint costs Separable costs Gross margin Gross margin normant
