Wayne Corporation manufactures three joint products in a single process. The information below is for August...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Wayne Corporation manufactures three joint products in a single process. The information below is for August 2022: Product Gallons WC-3530 4.500 Sales value at split-off 14SAR WC-3560 18,000 WC-3590 13,500 18SAR 8SAR Cost after split-off 4SAR 5SAR 2SAR Final selling price 24SAR 15SAR 22SAR Allocate the joint cost of 600,000SAR to the production based on the following (round to the nearest whole percentage): 1. Number of gallons 2. Sales value at split-off 3. Approximate net realizable value at split-off 4. Do you see any problems with the allocation based on the net realizable value? Explain. 5. Which method seems to be the most realistic and relevant given what we know about the costs? Wayne Corporation manufactures three joint products in a single process. The information below is for August 2022: Product Gallons WC-3530 4.500 Sales value at split-off 14SAR WC-3560 18,000 WC-3590 13,500 18SAR 8SAR Cost after split-off 4SAR 5SAR 2SAR Final selling price 24SAR 15SAR 22SAR Allocate the joint cost of 600,000SAR to the production based on the following (round to the nearest whole percentage): 1. Number of gallons 2. Sales value at split-off 3. Approximate net realizable value at split-off 4. Do you see any problems with the allocation based on the net realizable value? Explain. 5. Which method seems to be the most realistic and relevant given what we know about the costs?
Expert Answer:
Answer rating: 100% (QA)
4 yes the final selling price is higher for product WC3530 but the least joint cost is allocated to ... View the full answer
Related Book For
Cost Accounting Foundations and Evolutions
ISBN: 978-1111626822
8th Edition
Authors: Michael R. Kinney, Cecily A. Raiborn
Posted Date:
Students also viewed these accounting questions
-
Keiffer Production manufactures three joint products in a single process. The following information is available for August 2010: Allocate the joint cost of $558,000 to the production based on the a....
-
Do you see any reasons why Hogan may not have been completely objective in his whistle-blowing efforts? Alan Hogan was honored in June 2001 by the Civil Justice Foundation for exposing how employees...
-
1. Do you see any problems with Philip Austins plan for European expansion? Do you support his entrepreneurial approach to exporting? What should be the features of a more systematic approach to...
-
Data Set 32 "Airport Data Speeds" in Appendix B includes Sprint data speeds (mbps). The accompanying TI-83 / 84 Plus display results from using those data to test the claim that they are from a...
-
The comparative balance sheets for Tobemory Company show these changes in noncash current asset accounts: accounts receivable decrease $80,000, prepaid expenses increase $28,000, and inventories...
-
In Problems 11 54, simplify each expression. Assume that all variables are positive when they appear. 4/16
-
Develop contactor designs that combine advantages of cocurrent, crossflow, and countercurrent cascades.
-
Part a. Capital leases and operating leases are the two classifications of leases for the lessee. Required 1. Explain how a capital lease is accounted for by the lessee, both at the inception of the...
-
office estimate 25% of monthly sales are cash customers, while the remaining sales are credit. of credit customers 40% pay their accounts in the month of purchase, 60% pay their account the month...
-
Dry methane is supplied by a compressor and precooling system to the cooler of a Linde liquid-methane system (Fig. 9.6) at 180 bar and 300 K. The low-pressure methane leaves the cooler at a...
-
You have decided to buy a car this year at a price of $18,000. You're planning to take out a loan for the full price of the vehicle at an interest rate of .5% per month. For the first two years (24...
-
A local university football team has added a national power to next year's schedule.The other team has agreed to play the game for a guaranteed fee of $100,000 plus 25 percent of the gate...
-
The Baldwin company wants to decrease its plant utilization for Beetle by 15%. How many units would need to be produced next year to meet this production goal? Ignore impact of accounts payable on...
-
Compare and contrast the categories of information systems typically being used by organisations to support decision - making of 1 st line managers and middle managers respectively.
-
The followings information has been extracted from the 2027 Balance Sheet of Grand Leisure Ltd Paid up capital 2 million shares - 4,000 000 Retained earnings - 500 000 9% debenture (maturing Nov...
-
Calculate complexity of the function and return value in-term of N as an argument, for fun3, fun2 and fun1, with all steps and details int fun3(int & N) { N--; for (i = 1; i
-
Croesus Limited wants to carry out a major modernisation of its factory commencing in two weeks, time. During the modernisation, which is expected to take four weeks to complete, no production of the...
-
Recall that Chapter 8 described the binary search algorithm for finding a particular entry in an ordered list. The idea behind binary search is to begin looking in the exact center of the list. If...
-
Kantrovitz Company is a manufacturer of industrial components. One of its products that is used as a subcomponent in appliance manufacturing is AP110. This product has the following information per...
-
What is meant by the method of neglect? How does the use of this method affect cost of good production?
-
Shellys Tax Services prepares tax returns for individuals and small businesses. The firm employs four tax professionals. Currently, all tax returns are prepared on a manual basis. The firms owner,...
-
How much knowledge about information security do internal and external audi tors need to be effective?
-
What are the advantages and disadvantages of biometric security devices, such as fingerprint readers, in comparison with other security measures such as passwords and locked doors?
-
Which preventive, detective, and/or corrective controls would best mitigate the following threats? a. An employees laptop was stolen at the airport. The laptop contained personally identifying...
Study smarter with the SolutionInn App