Print Canyon Resources, Inc., mines copper. Its smelting process also yields a byproduct, molybdenum, that can be sold for industrial use. Both products are sold at th point. Canyon Resources started November 2017 with no inventories and spent $590,000 on operations that month. Production and sales information for Novem given below: ¹(Click the icon to view the information for November.) What is the gross margin for Canyon Resources, Inc., under the production method and the sales method of accounting for byproducts? Begin by calculating the gross margin under the production method and then the sales method. (Enter a "0" for any cells with a zero balance. For the main product inventory: Calculate the proportion of inventory first, then complete your calculation. Enter all numbers in thousands of dollars.) Revenues Main product Byproduct Total revenues Cost of goods sold Total manufacturing costs Deduct value of byproduct production Net manufacturing costs Deduct main product inventory Cost of goods sold Gross margin 1: More Info Production method Copper Molybdenum Production (in tons) 36,000 4,500 Sales (in tons) 26,640 3,200 Selling Price per ton 33 11 $ $

Print Canyon Resources, Inc., mines copper. Its smelting process also yields a byproduct, molybdenum, that can be sold for industrial use. Both products are sold at th point. Canyon Resources started November 2017 with no inventories and spent $590,000 on operations that month. Production and sales information for Novem given below: ¹(Click the icon to view the information for November.) What is the gross margin for Canyon Resources, Inc., under the production method and the sales method of accounting for byproducts? Begin by calculating the gross margin under the production method and then the sales method. (Enter a "0" for any cells with a zero balance. For the main product inventory: Calculate the proportion of inventory first, then complete your calculation. Enter all numbers in thousands of dollars.) Revenues Main product Byproduct Total revenues Cost of goods sold Total manufacturing costs Deduct value of byproduct production Net manufacturing costs Deduct main product inventory Cost of goods sold Gross margin 1: More Info Production method Copper Molybdenum Production (in tons) 36,000 4,500 Sales (in tons) 26,640 3,200 Selling Price per ton 33 11 $ $

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter9: Responsibility Accounting And Decentralization

Section: Chapter Questions

Problem 8EA: Using the information in the previous exercises about Marleys Manufacturing, determine the operating...

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