Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Walton Chemical Company makes three products, B7, K6, and X9, which are joint products from the same materials. In a standard batch of 371,000 pounds

Walton Chemical Company makes three products, B7, K6, and X9, which are joint products from the same materials. In a standard batch of 371,000 pounds of raw materials, the company generates 80,000 pounds of B7, 157,000 pounds of K6, and 134,000 pounds of X9. A standard batch costs $2,968,000 to produce. The sales prices per pound are $6, $12, and $14 for B7, K6, and X9, respectively.

Allocate the joint product cost among the three final products using weight as the allocation base.

Product Allocation Rate x Weight of Base = Allocated Cost
B7 x =
K6 x =
X9 x =
Total allocated cost

Allocate the joint product cost among the three final products using market value as the allocation base. (Round "Allocation rate" to 2 decimal places.)

Product Allocation Rate x Weight of Base = Allocated Cost
B7 x =
K6 x =
X9 x =
Total allocated cost

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Profitable Plans 7 Steps To A Financially Successful Business

Authors: Femke Hogema

1st Edition

9493231240, 978-9493231245

More Books

Students also viewed these Accounting questions