Butterfly Corp. manufactures products MI and M2 from a joint process, which also yields a by-product, B1. Butterfly accounts for the revenues from its by-product sales as other income. Additional information follows: M1 26, 800 M2 Total 49, 700 $388, 000 $98, 000 5788, 000 81 Units produced Allocated joint costs Sales value at split-off $414, 000 $276, 00 13, 800 9, 100 Required: Assuming that joint product costs are allocated using the net realizable value at split-off approach, what was the joint cost allocated to product M1? (Do not round intermediate calculations.) Joint cost of product M1

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Buttertly Corp. manufactures products M1 and M2 from a joint process, which also yields a by-product, B1. Butterfly accounts for the
revenues from its by-product sales as other income. Additional information follows:
M1
M2
B1
Units produced
Allocated joint costs
Sales value at split-off $414, 000 $276, 00 s98, 000
Total
49, 700
$388, 000
$788, 000
26, 800
13, 800
9, 100
Required:
Assuming that joint product costs are allocated using the net realizable value at split-off approach, what was the joint cost allocated to
product M1? (Do not round intermediate calculations.)
Jont cont of product M1
Transcribed Image Text:Buttertly Corp. manufactures products M1 and M2 from a joint process, which also yields a by-product, B1. Butterfly accounts for the revenues from its by-product sales as other income. Additional information follows: M1 M2 B1 Units produced Allocated joint costs Sales value at split-off $414, 000 $276, 00 s98, 000 Total 49, 700 $388, 000 $788, 000 26, 800 13, 800 9, 100 Required: Assuming that joint product costs are allocated using the net realizable value at split-off approach, what was the joint cost allocated to product M1? (Do not round intermediate calculations.) Jont cont of product M1
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