Question

Alpha Company manufactures products XX-1 and XX-2 from a joint process. Total joint costs are $300,000. The sales value at split-off was $350,000 for 4,000 units of product XX-1 and $150,000 for 1,000 units of product XX-2.

Required
Assuming that total joint costs are allocated using the net realizable value at split-off approach, what amount of the joint costs was allocated to product XX-1?



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  • CreatedDecember 18, 2013
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