For joint cost allocation: only the net realizable method can be used to allocate joint costs to by-products. only the relative sales value method can be used to allocate joint costs to scrap. separable costs do not include disposal costs. no joint costs are allocated to by-products or scrap. the most accurate method is the one using physical measures of output.

For joint cost allocation: only the net realizable method can be used to allocate joint costs to by-products. only the relative sales value method can be used to allocate joint costs to scrap. separable costs do not include disposal costs. no joint costs are allocated to by-products or scrap. the most accurate method is the one using physical measures of output.

Name: For joint cost allocation:only the net realizable method can be used t
Uploaded: 2024-03-20T06:32:49.000Z
Channel: Bartleby
Description: For joint cost allocation:only the net realizable method can be used to allocate joint costs to by-products.only the relative sales value method can be used to allocate joint costs to scrap.separable costs do not include disposal costs.no joint costs

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter6: Process Costing

Section: Chapter Questions

Problem 1MCQ: Process costing works well whenever a. heterogeneous products pass through a series of processes and...

See similar textbooks

Similar questions

Process costing works well whenever a. heterogeneous products pass through a series of processes and receive different doses of materials, labor, and overhead. b. material cost is accumulated by process and conversion cost is accumulated by process. c. homogeneous products pass through a series of processes and receive similar doses of conversion inputs and different doses of material inputs. d. homogeneous products pass through a series of processes and receive similar amounts of materials, labor, and overhead. e. None of these.
Using a physical measurement method, what amount is joint processing cost is allocated to product Wan? Using net realizable value at split-off, what amount of joint processing cost is allocated to product tri?
The following are approaches in allocating joint costs incurred up to split off point, except: a. Sales value method b. Physical unit method c. Fifo method d. Weighted average method
I-A limitation of using the physical output method in allocating joint costs to joint products is that it treats low-value products that are large in size as if they were valuable. II-Joint costs include direct materials, direct labor, and manufacturing overhead. A. Only statement II is true B. Both statements are false C. Both statements are true D. Only statement I is true
Under full absorption costing, which of the following are included in product costs?Only variable manufacturing costs.Only conversion costs.All fixed and variable manufacturing costs.Only direct materials and direct labor.
Which of the following statements is true? An avoidable fixed production cost incurred before the split-off point in a joint process is relevant in a sell or process further decision. It is profitable to continue processing joint products after the split-off point if their total revenues exceed the joint costs. Which of the following statements is true? Consistency demands that a cost that is relevant in one decision be regarded as relevant in other decisions as well. Variable costs are always relevant costs in decisions.
Multiple costing is a technique of using two or more costing methods for ascertainment of cost by: a.the same industry for same product b.the same firm for same product c.the several firm for same product d.the several industries for same product Achievement of real and permanent reduction in the unit cost of product is called as: a.Cost control b.Cost reduction c.Cost analysis d.Cost estimation
Using sales value at split-off, what amount of joint processing cost is allocated to Product Alpha? Using a physical measurement method, what amount of joint processing cost is allocated to Product Gamma? Using net realizable value at split-off, what amount of joint processing cost is allocated to Product Delta?
Which of the following components of production are allocable as joint cost when a single manufacturing process produces several salable products? Direct materials, direct labor, and overhead Direct materials and direct labor only Direct labor and overhead only Overhead and direct materials only
When management believes that there is a direct link between the joint costs incurred and the value of products before further processing takes place, the _____ is the best alternative to allocating joint costs. A.physical measures methodB.NRV methodC.sales value at splitoff methodD.constant grossmargin percentage method
Using the physical units method to allocate joint production cost would be?
Which of the following methods allocates joint costs based on the potential market value at the point where the products will be separated to be processed further? a.net realizable value method b.weighted average method c.market value at split-off method d.physical units method