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Working through this problem, and wanted to have a correct answer to compare to because of the length! Pirate Seafood Company purchases lobsters and processes
Working through this problem, and wanted to have a correct answer to compare to because of the length!
Pirate Seafood Company purchases lobsters and processes them into tails and flakes. It sells the lobster tails for $19.80 per pound and the flakes for $15.80 per pound. On average, 100 pounds of lobster are processed into 57 pounds of tails and 29 pounds of flakes, with 14 pounds of waste. Assume that the company purchased 3,900 pounds of lobster for $4 per pound and processed the lobsters with an additional labor cost of $6,000. No materials or labor costs are assigned to the waste. If 2,088 pounds of tails and 1,042 pounds of flakes are sold, calculate the allocated cost of the sold items and the allocated cost of the ending inventory. The company allocates joint costs on a value basis. (Round your answers to nearest whole number. Round cost per pound answers to 2 decimal places.) Yield per 3,900 lb. purchase Market Value per 3,900 lb. purchase Percent of Market Value Cost to be allocated Allocated cost 3,900 pound purchase Cost per pound Cost per Pounds sold Goods Sold Numerator Denominator % of Mkt Value Lobster Tails Lobster Flakes Totals 10 1) What is the allocated cost of the sold items? Cost of pound Lobster Tails $ 0.00 Lobster Flakes $ 0.00 Totals $ 0 2) What is the allocated cost of the ending inventory? Pounds in Cost of Cost per ending Ending pound inventory Inventory Lobster Tails Lobster Flakes Totals $ $ 0.00 0.00Step by Step Solution
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