VE McBride's Dairy has 200 gallons of cream and 600 gallons of skimmed milk and has incurred $1,000 of joint costs at the split-off point. The amount of this cost that will be allocated to skimmed milk using the physical units method is Formula: Gallons of Skimmed Milk / (Gallons of Cream + Gallons of Skimmed Milk) = Percentage Formula: Percentage x JC = Alloc. to Skimmed Milk A) $1,000 B $750 C) $0 (D) $250

McBride's Dairy has 200 gallons of cream and 600 gallons of skimmed milk and has incurred $1,000 of joint costs at the split-off point. The amount of this cost that will be allocated to skimmed milk using the physical units method is Formula: Gallons of Skimmed Milk / (Gallons of Cream + Gallons of Skimmed Milk) = Percentage Formula: Percentage xJC= Alloc. to Skimmed Milk $1,000 (B) $750 $0 $250