Using a physical measurement method, what amount is joint processing cost is allocated to product Wan?Using net realizable value at split-off, what amount of joint processing cost is allocated to product tri? La Loma Company produces four solvents from the same process: Wan, Tu, Tri, Por. Joint production costs are as follows: Materíals - P4, 000; Labor - P3, 000;Overhead- P2, 000Disposal cost Furtherper barrel at per barrel at processing price persplit- offSales priceFinal salessplit- offcostsbarrelBarrelsWan 750P10P6.50P2.00P13.50Tu1, 0008.4.002.5010.00Tri4, 000117.004.0015.50Por2, 000159.504.5019.50If La Loma sells the products after further processing, the following disposal costs will be incurred: C, P2.50; D, P1.00; E, P3.50; G, P6.0O. (Round all answersto the nearest peso)

Joint processing Cost= 4,000+3,000+2,000= 9,000 Physical Measurement Method. Particular barrel…

Answered: La Loma Company produces four solvents…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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La Loma Company produces four solvents from the same process: Wan, Tu, Tri, Por. Joint production costs are as follows: Materials P4, 000; Labor - P3, 0003; Overhead- P2, 000 Disposal cost Further per barrel at per barrel at processing price per Sales price Final sales split- off split- off costs barrel Barrels Wan 750 P10 P6.50 P2.00 P13.50 Tu 1, 000 8. 4.00 2.50 10.00 Tri 4, 000 11 7.00 4.00 15.50 Por 2, 000 15 9.50 4.50 19.50 If La Loma sells the products after further processing, the following disposal costs will be incurred: C, P2.50; D, P1.00; E, P3.50; G, P6.00. (Round all answers to the nearest peso) Using net realizable value at split- off, what amount of joint processing cost is allocated to Product Tri?
Peter Company produces four solvents from the same process: A,B,C and D. Joint product costs are P9,000 ( Round to the nearest peso) Product Barrels SP @ Split-Off Pt. Cost to sell @ Split-off Separable Cost Final sales price A 750 P10.00 P6.50 P2.00 P13.50 B 1,000 8.00 4.00 2.50 10.00 C 1,400 11.00 7.00 4.00 15.50 D 2,000 15.00 9.50 4.50 19.50 If Peter Company sells the products after further processing, the following costs to sell will be incurred: A-P2.50 B-P1.00 C-P3.50 D- P6.00 Using the…
Peter Company produces four solvents from the same process: A,B,C and D. Joint product costs are P9,000 ( Round to the nearest peso) Product Barrels SP @ Split-Off Pt. Cost to sell @ Split-off Separable Cost Final sales price A 750 P10.00 P6.50 P2.00 P13.50 B 1,000 8.00 4.00 2.50 10.00 C 1,400 11.00 7.00 4.00 15.50 D 2,000 15.00 9.50 4.50 19.50 If Peter Company sells the products after further processing, the following costs to sell will be incurred: A-P2.50 B-P1.00 C-P3.50 D- P6.00 Using net…
Peter Company produces four solvents from the same process: A,B,C and D. Joint product costs are P9,000 ( Round to the nearest peso) Product Barrels SP @ Split-Off Pt. Cost to sell @ Split-off Separable Cost Final sales price A 750 P10.00 P6.50 P2.00 P13.50 B 1,000 8.00 4.00 2.50 10.00 C 1,400 11.00 7.00 4.00 15.50 D 2,000 15.00 9.50 4.50 19.50 If Peter Company sells the products after further processing, the following costs to sell will be incurred: A-P2.50 B-P1.00 C-P3.50 D- P6.00 Using a…
Blum Company produces three products: A, B, and C from the same process. Joint costs for this production run are $2,100. Pounds Sales priceper lb. atsplit-off Disposalcost perlb. atsplit-off Furtherprocessingper pound Finalsales priceper pound A 800 $6.50 $3.00 $2.00 $7.50 B 1,100 8.25 4.20 3.00 10.00 C 1,500 8.00 4.00 3.50 10.50 If the products are processed further, Blum Company will incur the following disposal costs upon sale: A, $3.00; B, $2.00; and C, $1.00. Refer to Blum Company. Using sales value at split-off, what amount of joint processing cost is allocated to Product B (round to the nearest dollar)? $725 $416 $959 $700
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Queens Ltd makes four components A, B, C and D and the associated annual costs are as follows: Production volume (units) Unit variable costs Direct materials Direct labour Variable production overheads Total Fixed costs directly attributable are: The unit prices of an external supplier are: a) A and C b) B and C c) D only A B C D 1,500 3,000 5,0007,000 $ $ d) A only 8 2 14 3,000 12 4 8 1 Which of these components should be bought in from the external supplier: $ $ 5 5 6 6 4 5 13 15 16 6,000 10,000 7,000 16 20 24
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