A Florida processing company, Sunshine ToGo, produces two products from a joint process: Alpha and Omega. Joint processing costs for this month's production cycle are $9,000. Pounds Sales price per pound at split-off Disposal cost per pound at split-off Further processing per pound Final sale price per pound Alpha 1,800 $7.00 $4.50 $1.50 $ 8.00 Omega 2,600 10.00 6.00 3.50 12.25 If Alpha and Omega are processed further, no disposal costs will be incurred or such costs will be borne by the buyer. Using a physical measure method, what amount of joint processing cost is allocated to Omega (round to the nearest dollar)? Using sales value at split-off, what amount of joint processing cost is allocated to Alpha (round to the nearest dollar)?
A Florida processing company, Sunshine ToGo, produces two products from a joint process: Alpha and Omega. Joint processing costs for this month's production cycle are $9,000. Pounds Sales price per pound at split-off Disposal cost per pound at split-off Further processing per pound Final sale price per pound Alpha 1,800 $7.00 $4.50 $1.50 $ 8.00 Omega 2,600 10.00 6.00 3.50 12.25 If Alpha and Omega are processed further, no disposal costs will be incurred or such costs will be borne by the buyer. Using a physical measure method, what amount of joint processing cost is allocated to Omega (round to the nearest dollar)? Using sales value at split-off, what amount of joint processing cost is allocated to Alpha (round to the nearest dollar)?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
A Florida processing company, Sunshine ToGo, produces two products from a joint process: Alpha and Omega. Joint processing costs for this month's production cycle are $9,000.
|
Pounds |
Sales price per pound at split-off |
Disposal
cost per pound at split-off |
Further processing per pound |
Final sale price per pound |
|
| Alpha |
1,800
|
$7.00
|
$4.50
|
$1.50
|
$ 8.00
|
| Omega |
2,600
|
10.00
|
6.00
|
3.50
|
12.25
|
If Alpha and Omega are processed further, no disposal costs will be incurred or such costs will be borne by the buyer.
Using a physical measure method, what amount of joint
Using sales value at split-off, what amount of joint processing cost is allocated to Alpha (round to the nearest dollar)?
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