Fundador Inc. makes two products, Wet and Dry, from a joint operating process. For the month of May 2021, the total joint costs of processing was P120,000 and the costs of further processing after the point of split-off, as well as other relevant data, are as follows: The company uses the net realizable value method for allocating the joint costs of processing. For the month of may 2021, the joint costs allocated to product Wet was: A. 60,000 B. 66,000 C. 72,000 D. 80,000
Fundador Inc. makes two products, Wet and Dry, from a joint operating process. For the month of May 2021, the total joint costs of processing was P120,000 and the costs of further processing after the point of split-off, as well as other relevant data, are as follows: The company uses the net realizable value method for allocating the joint costs of processing. For the month of may 2021, the joint costs allocated to product Wet was: A. 60,000 B. 66,000 C. 72,000 D. 80,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Fundador Inc. makes two products, Wet and Dry, from a joint operating process. For the month of May 2021, the total joint costs of processing was P120,000 and the costs of further processing after the point of split-off, as well as other relevant data, are as follows:
The company uses the net realizable value method for allocating the joint costs of processing. For the month of may 2021, the joint costs allocated to product Wet was:
A. 60,000
B. 66,000
C. 72,000
D. 80,000
Transcribed Image Text:Wet
Dry
Unit after split-off
1,600
800
Sales price per unit
P200
P400
Further process costs
P100,000
P140,000
The company uses the net realizable value method for allocating the joint costs of
processing. For the month of May 2021, the joint costs allocated to product Wet was
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