# Chem Manufacturing Company processes direct materials up to the split-off point where two products (X and Y) are obtained and sold. The following information was collected for the month of November:Direct materials processed:  10,200 gallons (10,200 gallons yield 9500 gallons of good product and 700 gallons of shrinkage)         Production:           X   5300 gallons                                    Y   4200 gallons        Sales:                  X   5050 at \$300 per gallon                                    Y   3950 at \$80 per gallon The cost of purchasing 10,200 gallons of direct materials and processing it up to the split-off point to yield a total of 9500 gallons of good products was \$1,050,000.The beginning inventories totaled 35 gallons for X and 400 gallons for Y. Ending inventory amounts reflected 565 gallons of Product X and 1,515,000 gallons of Product Y. October costs per unit were the same as November. Using the physical-volume method, what is Product X's approximate gross-margin percentage? (Round all intermediary calculations two decimal places.)

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Chem Manufacturing Company processes direct materials up to the split-off point where two products (X and Y) are obtained and sold. The following information was collected for the month of November:

Direct materials processed:  10,200 gallons (10,200 gallons yield 9500 gallons of good product and 700 gallons of shrinkage)

Production:           X   5300 gallons

Y   4200 gallons

Sales:                  X   5050 at \$300 per gallon

Y   3950 at \$80 per gallon

The cost of purchasing 10,200 gallons of direct materials and processing it up to the split-off point to yield a total of 9500 gallons of good products was \$1,050,000.

The beginning inventories totaled 35 gallons for X and 400 gallons for Y. Ending inventory amounts reflected 565 gallons of Product X and 1,515,000 gallons of Product Y. October costs per unit were the same as November.

Using the physical-volume method, what is Product X's approximate gross-margin percentage? (Round all intermediary calculations two decimal places.)

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Step 1

Calculate the amount of sales for Product X.

Step 2

Calculate the cost of goods sold for 5,300 gallons of product X.

Step 3

Calculate the cost of goods sold for 5,050 ...

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