Question
Use the Net Realizable Value Method to determine the gross margin of two products. Grade AA Grade AB Final Sales value $400,000 $650,000 Less additional
- Use the Net Realizable Value Method to determine the gross margin of two products.
Grade AA Grade AB
Final Sales value $400,000 $650,000
Less additional cost 0 0
Net Realizable Value at
Split-off point $400,000 $650,000
Total cost prior to
Split off point =
$233,000
Split =
47% for Grade AA
53% for Grade AB
Gross margin
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The International Corporate Governance System Audit Roles And Board Oversight
Authors: F. Lessambo
1st Edition
134947178X, 978-1349471782
