Milo Manufacturing produces products Kappa and Lambda from a joint process. Total joint costs are $169,000. The sales value at split- off was $175,680 for 8,800 units of Kappa and $63,280 for 13,200 units of Lambda. Required: a. What joint costs are allocated to the two products using the net realizable value at split-off approach? Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. b. What joint costs are allocated to the two products using the physical quantities method? Note: Do not round intermediate calculations. a. Net realizable value method b. Physical quantities method Kappa Lambda

Milo Manufacturing produces products Kappa and Lambda from a joint process. Total joint costs are $169,000. The sales value at split- off was $175,680 for 8,800 units of Kappa and $63,280 for 13,200 units of Lambda. Required: a. What joint costs are allocated to the two products using the net realizable value at split-off approach? Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. b. What joint costs are allocated to the two products using the physical quantities method? Note: Do not round intermediate calculations. a. Net realizable value method b. Physical quantities method Kappa Lambda

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter7: Allocating Costs Of Support Departments And Joint Products

Section: Chapter Questions

Problem 10CE: A company manufactures three products, L-Ten, Triol, and Pioze, from a joint process. Each...

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Milo Manufacturing produces products Kappa and Lambda from a joint process. Total joint costs are $168,000. The sales value at split-off was $174,960 for 8,400 units of Kappa and $63,280 for 12,600 units of Lambda. Required: What joint costs are allocated to the two products using the net realizable value at split-off approach? Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. What joint costs are allocated to the two products using the physical quantities method? Note: Do not round intermediate calculations. Kappa Lambda a. Net realizable value method ??? ??? b. Physical quantities method ??? ???
Milo Manufacturing produces products Kappa and Lambda from a joint process. Total joint costs are $158,000. The sales value at split-off was $167,760 for 4,400 units of Kappa and $63,280 for 6,600 units of Lambda. Required: What joint costs are allocated to the two products using the net realizable value at split-off approach? Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amounts. What joint costs are allocated to the two products using the physical quantities method? Note: Do not round intermediate calculations.
Please show me your solution so I can review mine. Thank you! 1. The XYZ Company manufactures products C and R from a joint process. The total joint costs are P60,000. The sales value at split-off was P75,000 for 8,000 units of product C and P25,000 for 2,000 units of product R. Assuming the total joint costs are allocated using the relative sales value at split-off approach, what were the joint costs allocated to product C?________________ 2. BZD Company manufactures products A and B from a joint process which also yields a by- product, X. BZD accounts for the revenues from its by-product sales as a deduction from the cost of goods sold of its main products. Additional information is as follows: A B X TOTAL Units produced 15,000 9,000 6,000 30,000 Joint costs ? ? ? P264,000 Sales value at split-off P290,000 P150,000 P 10,000 P450,000 Assuming that joint product costs are allocated using the relative sales value at split-off…
Bixel Components manufactures products A1 and A2 from a joint process. Total joint costs are $360,000. The sales value at split-off was $400,000 for 4,500 units of product A1 and $200,000 for 1,400 units of product A2. Required: Assuming that total joint costs are allocated using the net realizable value at split-off approach, what amount of the joint costs was allocated to product A1? (Do not round intermediate calculations.) Joint cost of product A1
Tendler Co. produces two products, X and Y, using a joint process. The following data has been given to you: Joint cost Unit selling prices of completely processed products Units produced and processed beyond split-off Processing cost beyond split-off point Total $3,300 450 $3,700 Allocate the joint cost using the net-realizable value method: X: S XIN Y: S ? $10 300 $1,100 Y ? $40 150 $2,60
A company manufactures two joint products at a joint cost of 1,000. These products can be sold at split-off, or when further processed at an additional cost, sold as higher quality items. The decision to sell at split-off or further process should be based on the: A. allocation of the 1,000 joint cost using the quantitative unit measure B. assumption that the 1,000 joint cost is irrelevant C. allocation of the $1,000 joint cost using the relative sales value approach D. assumption that the 1,000 joint cost must be allocated using a physical-measure approach E. allocation of the 1,000 joint cost using any equitable and rational allocation basis
I need answers to the following questions: Fritz Co. Produces 2 Products "Maria and Rose" , and 1 by-product "Sina" Total Joint Cost is P3,840,000. The by product however would need an additional cost of P180,000 to fully utilize Sina. The Cost is allocated based on Net Realizable Value method, while the by Product will be accounted for using the Cost Reduction Method. How much is the Adjusted Joint Cost? This will pertain to #12 to #15 (IMAGE) Using the NRV Method, How much cost would be allocated to Maria? Using the NRV Method, How much cost would be allocated to Rose? How much is the total Gain in the by product if the Company opted for the Sales Method?
Please show me your solution so I can check mine. Thanks! ANC Inc. manufactures products S and T from a joint process. The sales value at split-off was P50,000 for 6,000 units of product S and P25,000 for 2,000 units of product T. Assuming that portion of the total joint costs properly allocated to product S using the relative sale value at split-off approach was P30,000, what were the total joint costs?
Karen Corp. manufactures products Y and Z from a joint process. The sales value at split-off was P50,000 for 6,000 units of Product Y and P25,000 for 2,000 units of Product Z. Assuming that the portion of the total joint costs properly allocated to Product Y using the relative sales value at split off approach was P30,000. What were the total joint costs?
Corey Corporation manufactures joint products W and X. During a recent period, joint costs amounted to $450,000 in the production of 20,000 gallons of W and 50,000 gallons of X. Both products will be processed beyond the split-off point, giving rise to the following data: Separable processing costs Sales price (per gallon) if processed beyond split-off The joint cost allocated to W under the net-realizable-value method would be: (Do not round intermediate calculations.) Multiple Choice $156,000. $142,105, $110,000 $128.571. $40,000 $ 15 $ $160,000 13
ACE Company makes two products A and B. They are initially processed from the same materials and then after split off, further processed separately. Additional information is as follows: A B TOTAL Final sales value Sales value at split off Cost beyond split off Joint cost prior to split off 81,000 66,000 18,000 99,000 94,000 22,000 180,000 160,000 40,000 30,000 Answer the following: 1. Compute the joint cost assigned to A and B using the Actual Net Realizable Value approach. 2. Compute the joint cost assigned to A and B using the Approximated Net Realizable Value approach.
The Freed Company produces three products, X, Y, Z, from a single raw material input. Product Y can be sold at the split-off point for total revenues of $50,000, or it can be processed further at a total cost of $16,000 and then sold for $68,000. Product Y: А. Should be sold at the split-off point, rather than processed further. В. Would increase the company's overall net operating income by $18,000 if processed further and then sold. С. Would increase the company's overall net operating income by $68,000 if processed further and then sold. D. Would increase the company's overall net operating income by $2,000 if processed further and then sold. Е. None of the above