This window shows your responses and what was marked correct and incorrect from your previous attem Required information Problem 22-5AC Allocation of joint costs LO C3 (The following information applies to the questions displayed below.) Georgia Orchards produced a good crop of peaches this year. After preparing the following income statement, the company is concerned about the net loss on its No. 3 peaches. GEORGIA ORCHARDS Income Statement For Year Ended December 31, 2019 No. 1 No. 2 No. 3 Combined Sales (by grade) No. 1: 300,000 lbs. @ $1.5e/lb $450,000 No. 2: 300,000 Ibs. @ $1.00/lb $300,000 No. 3: 750,000 lbs. @ $0.25/lb $ 187,500 Total sales $937,500 Costs Tree pruning and care @ $0.30/lb 90,000 90,000 225, eee 405,000 Picking, sorting, and grading @ $0.15/16 45,000 45,800 112,500 202,500 Delivery costs 15,000 15,000 37,500 67,500 Total costs 150,000 150,000 375,000 675,000 Net income (loss) $300,000 $150,000 $(187,500) $262,500 In preparing this statement, the company allocated joint costs among the grades on a physical basis as an equal amount per pound. The company's delivery cost records show that $30,000 of the $67,500 relates to crating the No. 1 and No. 2 peaches and hauling them to the buyer. The remaining $37,500 of delivery costs is for crating the No. 3 peaches and hauling them to the cannery This window shows your responses and what was marked correct and incorrect from your previous attempt. Required information 1. Prepare reports showing cost allocations on a sales value basis to the three grades of peaches. Separate the delivery costs into the amounts directly identifiable with each grade. Then allocate any shared delivery costs on the basis of the relative sales value of each grade. (Do not round intermediate calculations.) Tree Pruning and Care: Allocated Grade Allocation Base Percent of Allocation Base Numerator Denominator |% of Total X Indirect Cost Cost 194.400 129,600 0 Nos. No. 1 $ 450,000 No. 2 300,000 No. 3 187.500 Totals S 937.500 Picking. Sorting, and Grading: Grade Allocation Base Nos Sales value No 1 $ 450.000 No. 2 / 300.000 No. 3 187.500 Totals 937.500 Delivery: x Indirect Cost Percent of Allocation Base Numerator Denominator % of Total Allocated Cost 97,200 64,800 x Indirect Cost Allocated Cost x $ Delivery: Grade Allocation Base Percent of Allocation Base Nos Sales value Numerator Denominator % of Total No. 1 450,000 No. 2 300,000 750,000 No. 3 Totals Red text indicates no response was expected in a cell or a formula-based calculation is in 18,000 12,000 0.0% $ 30,000