Alomar Company manufactures four products from a joint production process. Andol, incol, ordol, and exsol. The joint costs for one batch are as follows:

Direct Material		$56,300
Direct Labor		$28,000
Overhead		$15,700
		$100,000

At the split-off point, a batch yields 1,000 andol; 1,500 incol; 2,500 ordol; and 3,000exsol. All products are sold at the split-off point: andol sells for $20 per unit; incol sells for $75 per unit; ordol sells for $64 per unit, and exsol sells for $22.50 per unit.

Required:

1. Allocate the joint costs using the physical units method.

2. Suppose that the products are weighted as follows:

Andol	3.0
Incol	2.0
Ordol	0.4
Exsol	1.0

Allocate the joint costs using the weighted average method.

Answer rating: 100% (QA)

1 Physical Unit Method Product Units Unit Joint Cost Allotted Cost Andol 100000 1250 100000 12500 I... View the full answer