Marick Corporation produces four products from a joint process costing $150,000 per month. After leaving the joint process, the products must be further refined before they are salable. You have been provided with the following information: Product Volume Further Processing Costs Selling Price per Unit A-1 15,000 $350,000 $80 B-3 25,000 400,000 40 C-2 10,000 100,000 22 Q-9 50,000 250,000 10 Required: 1. Allocate the joint costs using the physical units method. 2. Allocate the joint costs using the net realizable value method
Marick Corporation produces four products from a joint process costing $150,000 per month. After leaving the joint process, the products must be further refined before they are salable. You have been provided with the following information: Product Volume Further Processing Costs Selling Price per Unit A-1 15,000 $350,000 $80 B-3 25,000 400,000 40 C-2 10,000 100,000 22 Q-9 50,000 250,000 10 Required: 1. Allocate the joint costs using the physical units method. 2. Allocate the joint costs using the net realizable value method
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter19: Support Department And Joint Cost Allocation
Section: Chapter Questions
Problem 4CMA: Tucariz Company processes Duo into two joint products, Big and Mini. Duo is purchased in...
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Marick Corporation produces four products from a joint
After leaving the joint process, the products must be further refined before they are salable.
You have been provided with the following information:
Product Volume Further Processing Costs Selling Price per Unit
A-1 15,000 $350,000 $80
B-3 25,000 400,000 40
C-2 10,000 100,000 22
Q-9 50,000 250,000 10
Required:
1. Allocate the joint costs using the physical units method.
2. Allocate the joint costs using the net realizable value method
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