Question No. 4 HASF Corporation manufactures products A, B, and C from a joint process. Joint costs are allocated on the basis of relative sales value at the end of the joint process. Additional information for HASF are as follows: B Total Units produced 24,000 Joint costs 240,000 Sales value before additional processing 400,000 Additional costs for further processing 12,000 Sales value if processed further 470,000 12,000 8,000 4,000 144,000 60,000 36,000 240,000 100,000 60,000 28,000 20,000 60,000 280,000 120,000 70,000 Required: a. Which, if any, of products A, B, and C should be processed further and then sold? b. Keeping in view the answer of "part a", write down your critical feedback to support your answer (Word limit Max 200)

Question No. 4 HASF Corporation manufactures products A, B, and C from a joint process. Joint costs are allocated on the basis of relative sales value at the end of the joint process. Additional information for HASF are as follows: B Total Units produced 24,000 Joint costs 240,000 Sales value before additional processing 400,000 Additional costs for further processing 12,000 Sales value if processed further 470,000 12,000 8,000 4,000 144,000 60,000 36,000 240,000 100,000 60,000 28,000 20,000 60,000 280,000 120,000 70,000 Required: a. Which, if any, of products A, B, and C should be processed further and then sold? b. Keeping in view the answer of "part a", write down your critical feedback to support your answer (Word limit Max 200)

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter6: Process Cost Accounting—additional Procedures; Accounting For Joint Products And By-products

Section: Chapter Questions

Problem 13E: Computing joint costssales value at split-off and net realizable value methods D.L. Manufacturing...

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HASF Corporation manufactures products A, B, and C from a joint process. Joint costs are allocated on the basis of relative sales value at the end of the joint process. Additional information for HASF are as follows: A B C Total Units produced 12000 8000 4,000 24,000 Joint costs 144000 60,000 36,000 240,000 Sales value before additional processing 240000 100,000 60,000 400,000 Additional costs for further processing 28000 20,000 12,000 60,000 Sales value if processed further 280000 120,000 70,000 470,000 Required: Which, if any, of products A, B, and C should be processed further and then sold? Keeping in view the answer of "part a", write down your critical feedback to support your answer
HASF Corporation manufactures products A, B, and C from a joint process. Joint costs are allocated on the basis of relative sales value at the end of the joint process. Additional information for HASF are as follows: Units produced Joint costs 12,000 144,000 в 8,000 60,000 с 4,000 36,000 Total 24,000 240,000 Sales value before additional processing 240,000 100,000 60,000 400,000 Additional costs for further processing Sales value if processed further 28,000 280,000 20,000 120,000 12,000 70,000 60,000 470,000 Required: a. Which, if any, of products A, B, and C should be processed further and then sold? b. Keeping in view the answer of "part a", write down your critical feedback to support your answer (Word limit Max 200)
BC Corporation manufactures products W, X,Y, AND Z from a joint process. Additional information is as follows: Sales If processed further Units Value at Additional Sales Product Produced Split-off Costs Value W 6,000 P 80,000 P 7,500 P 90,000 X 5,000 60,000 6,000 70,000 Y 4,000 40,000 4,000 50,000 Z 3,000 20,000 2,500 30,000 Total 18,000 P200,000 P20,000 P240,000 Assuming that total joint costs of P160,000 were allocated using the relative sales value at split- off approach, what joint costs were allocated to each product? W________________ X__________________ Y________________ Z __________________
Exercise 11-46 (Algo) Net Realizable Value Method with By-Products (LO 11-3, 5) Denver Fabricators manufactures products DF1 and DF2 from a joint process, which also yields a by-product, BP. The company accounts for the revenues from its by-product sales as other income. Additional information follows: Units produced Allocated joint costs Sales value at split-off DF1 DF2 BP DF1 27,200 ? $ 562,500 $ 187,500 Joint Cost DF2 18,200 ? BP 15,200 ? $ 102,200 Required: Assuming that joint product costs are allocated using the net realizable value at split-off approach, what joint costs are allocated to each of the joint products DF1 and DF2 and to the by-product, BP? Note: Do not round intermediate calculations. Total 60,600 $ 560,200 $ 852,200
TB MC Qu. 7-66 (Algo) Joint costs allocated to product DBB-1 using the physical measure method: Double Company Double Company produces three products - DBB-1, DBB-2, and DBB-3 from a joint process. Each product may be sold at the split- off point or processed further. Additional processing requires no special facilities, and production costs of further processing are entirely variable and traceable to the products involved. Key information about Double's production, sales, and costs follows. Units Sold Price (after additional processing) Separable Processing cost Units Produced Total Joint Cost Sales Price at Split-off Multiple Choice $783,333. $812,973. $1,727,568. The amount of joint costs allocated to product DBB-1 using the physical measure method is: $1,253,333. DBB-1 19, 200 $ 65 $ 142,000 19, 200 $1,219,459. $ 25 DBB-2 28,800 $ 50 $ 76,000 28,800 $ 35 DBB-3 40,800 $75 $ 98,000 40,800 $ 55 Total 88,800 $ 316,000 88,800 $ 3,760,000
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
Joint Products; By-Products (Appendix) The Marshall Company has a joint production process that produces two joint products and a by-product. The joint products are Ying and Yang, andthe by-product is Bit. Marshall accounts for the costs of its products using the net realizable valuemethod. The two joint products are processed beyond the split-off point, incurring separable processing costs. There is a $1,000 disposal cost for the by-product. A summary of a recent month’s activityat Marshall is shown below:Ying Yang BitUnits sold 50,000 40,000 10,000Units produced 50,000 40,000 10,000Separable processing costs—variable $140,000 $42,000 $—Separable processing costs—fixed $10,000 $8,000 $—Sales price $6.00 $12.50 $1.60Total joint costs for Marshall in the recent month are $265,000, of which $115,000 is a variable cost.Required1. Calculate the manufacturing cost per unit for each of the three products.2. Calculate the total gross margin for each product
Exercise 11-47 (Algo) Net Realizable Value Method with By-Products (LO 11-7, 10) Butterfly 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 24,400 ? M2 13,800 ? Joint cost of product M1 B1 9,600 ? Units produced Allocated joint costs Sales value at split-off $378,000 $252,000 $96,000 Total 47,800 $352,000 $726,000 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.)
TB MC Qu. 11-82 (Algo) Atkinson, Incorporated, manufactures products A, B, and C... Atkinson, Incorporated, manufactures products A, B, and C from a common process. Joint costs were $141,900. Additional information is as follows: If Processed Further Additional Product Units Produced A B C 5,700 6,950 3,475 16,125 Sales Value at Split-Off Sales Value $ 38,200 60,465 41,700 $ 52,450 77,840 52,125 Costs $ 3,800 10,425 13,900 $ 140,365 $ 182,415 $ 28,125 Assuming that joint production costs are allocated using the physical quantities method (units produced), what were the costs allocated to Product A? Note: Do not round intermediate calculations.
ALASKA Company manufactures products F, G and W from a joint process. Joint costs are allocated on the basis of relative sales value at split-off. Additional informaton for the June 20x1 production activity as follows: F G W Total Units produced 50,000 40,000 10,000 100,000 Joint costs ? ? ? P450,000 Sales value at split-off P420,000 P270,000 P60,000 P750,000 Additional costs if processed further 88,000 30,000 12,000 130,000 Sales value if processed further 538,000 320,000 78,000 936,000 Assuming that the 10,000 units of W were processed further and sold for P78,000, what was ALASKA's gross profit on this sale?
Problem Solving 1. Harry Corporation manufactures Products J, K, L and M from a joint process. Additional information is as follows: Product J K L M Units Produced 6,000 5,000 4,000 3,000 18,000 Market Value at Split - Off P 80,000 60,000 40,000 20,000 P 200,000 If Processed Further Additional Costs P 7,500 6,000 4,000 2,500 P 20,000 Market Value P 90,000 70,000 50,000 30,000 P 240,000 Assuming that total joint costs of P 160,000 were allocated using the market value at spilt-off approach, what joint cost were allocated to each product (J, K, L and M)?
ESBA Company produced two joint products A and E. and by-products and D from the same raw materials with Jointcosts P200.000. The ertity uses net realizabe value in allocatingjoirt costs to joint products. Other informaticin are as foilows: Units produced (20.000: 30.000: 5.000 and 5.000) Unit soid (18.000. 25.000: 5.000 and 5.000): Final unit selling prices (P25.00: P20.00. P200 and P1.50): Further processing costs (PI50.000; P210.0oC: P5.000 and P4.000); Selling and Administrative expenses (P15.000: P21.000: PS00 and P400): Desred profiton Cand D (P2.000 and P1500). irthenetproceeds of sale of by-products are prasented as reduetion from cost of goods sold of the main products, what is the amount of operating proft from joint products orly? P438.589 PABR300 P432836 F430,989