Milo Manufacturing produces products Kappa and Lambda from a joint process. Total joint costs are $150,000. The

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Milo Manufacturing produces products Kappa and Lambda from a joint process. Total joint costs are $150,000. The sales value at split-off was $162,000 for 1,200 units of Kappa and $63,000 for 1,800 units of Lambda.


Required

a. What joint costs are allocated to the two products using the net realizable value at split-off approach?

b. What joint costs are allocated to the two products using the physical quantities method? 

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