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Upton Company produces two main products and a by. product out of a joint process. The ratio of output quantities to input quantities of direct

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Upton Company produces two main products and a by. product out of a joint process. The ratio of output quantities to input quantities of direct material used in the joint process remains consistent from month to month. Upton has employed the physical quantities method to allocate joint production costs to the two main products. The net realizable value of the by-product is used to reduce the joint production costs before the joint costs are allocated to the main products. Data regarding Upton's operations for the current month are presented in the chart below. During the month, Upton incurred joint production costs of $2,520,000. The main products are not marketable at the split-off point and, thus, have to be processed further. The amount of joint production cost that Upton would allocate to the Second Main Product by using the physical quantities method to allocate joint production costs would be: Dest before the joint costs a to reduce the joint production Data regarding Upton's opere allocated to the main products. presented in the chart operations for the current month are incurred joint production cow. During the month, Upton products are not mation costs of $2,520,000. The main have to be processed fable at the split-off point and a allocate to the Second Main Product by using then would quantities method to al Main Product by using the physical quantities method to allocate joint production costs would be: $1,260,000 $1,500,000 $1,575,000 $1,200,000

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