Joint Cost Allocation—Weighted average method Gordon's Smoothie Stand makes three types of smoothies: blueberry lemon, orange swirl, and triple berry. Before all flavors are added, the smoothies go through a joint mixing process that costs a total of $43 per batch. One batch produces 21.75 cups of blueberry lemon smoothies, 29 cups of orange swirl smoothies, and 36.25 cups of triple berry smoothies. In addition, Gordon has studiously noted that the mixing process necessary for triple berry and blueberry lemon smoothies takes twice as long as it does for orange swirl smoothies. Allocate the joint costs of production to each product using the weighted average method. Round your answers to two decimal places.

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter5: Support Department And Joint Cost Allocation
Section: Chapter Questions
Problem 18E: Joint cost allocation net realizable value method Lilys Lemonade Stand makes three types of...
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Joint Cost Allocation—Weighted average method

Gordon's Smoothie Stand makes three types of smoothies: blueberry lemon, orange swirl, and triple berry. Before all flavors are added, the smoothies go through a joint mixing process that costs a total of $43 per batch. One batch produces 21.75 cups of blueberry lemon smoothies, 29 cups of orange swirl smoothies, and 36.25 cups of triple berry smoothies. In addition, Gordon has studiously noted that the mixing process necessary for triple berry and blueberry lemon smoothies takes twice as long as it does for orange swirl smoothies.

Allocate the joint costs of production to each product using the weighted average method. Round your answers to two decimal places.

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