Aladdin's Lamp Oil Company produces both A-1 Fancy and B Grade Oil. There are approximately $90,000...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Aladdin's Lamp Oil Company produces both A-1 Fancy and B Grade Oil. There are approximately $90,000 in joint costs that Filch may allocate using the sales value at the split-off point approach or the physical measure approach. After split-off, A-1 Fancy sells for $3 per gallon while B Grade sells for $6 per gallon, both without any additional processing. The following information was collected for the month of October: Production A-1 Fancy 18,000 gallons B Grade 18,000 gallons Sales A-1 Fancy 17,000 gallons B Grade 17,750 gallons The company reported no beginning inventory. Q1.1 1 Point What is the allocation of joint costs to A-1 Fancy and B Grade Oil using the sales value at split-off method? Clearly show your workings. A-1 Fancy B Grade Enter your answer here Q1.2 1 Point What is the allocation of joint costs to A-1 Fancy and B Grade Oil using the physical measure method? Clearly show your workings A-1 Fancy Enter your answer here B Grade Enter your answer here Q1.3 1 Point Calculate the total gross profit under for each product using the sales value at split-off method. Clearly show your workings. A-1 Fancy Enter your answer here B Grade Enter your answer here Q1.4 1 Point Calculate the total gross profit under for each product using the Physical measure method. Clearly show your workings. A-1 Fancy Enter your answer here B Grade Enter your answer here Aladdin's Lamp Oil Company produces both A-1 Fancy and B Grade Oil. There are approximately $90,000 in joint costs that Filch may allocate using the sales value at the split-off point approach or the physical measure approach. After split-off, A-1 Fancy sells for $3 per gallon while B Grade sells for $6 per gallon, both without any additional processing. The following information was collected for the month of October: Production A-1 Fancy 18,000 gallons B Grade 18,000 gallons Sales A-1 Fancy 17,000 gallons B Grade 17,750 gallons The company reported no beginning inventory. Q1.1 1 Point What is the allocation of joint costs to A-1 Fancy and B Grade Oil using the sales value at split-off method? Clearly show your workings. A-1 Fancy B Grade Enter your answer here Q1.2 1 Point What is the allocation of joint costs to A-1 Fancy and B Grade Oil using the physical measure method? Clearly show your workings A-1 Fancy Enter your answer here B Grade Enter your answer here Q1.3 1 Point Calculate the total gross profit under for each product using the sales value at split-off method. Clearly show your workings. A-1 Fancy Enter your answer here B Grade Enter your answer here Q1.4 1 Point Calculate the total gross profit under for each product using the Physical measure method. Clearly show your workings. A-1 Fancy Enter your answer here B Grade Enter your answer here
Expert Answer:
Related Book For
Horngrens Cost Accounting A Managerial Emphasis
ISBN: 978-0134475585
16th edition
Authors: Srikant M. Datar, Madhav V. Rajan
Posted Date:
Students also viewed these accounting questions
-
Do you think the chance of losing data when outsourcing to Low-Cost Countries is the same as outsourcing to a local manufacture? If so, which situation is worse?
-
The Viral Clean ("Clean") owners are aware of the importance of c ontracts to both buy and sell goods and services. They are reviewing the Uniform Commercial Code (UCC), Article 2, that covers...
-
Earl's Hurricane Lamp Oil Company produces both A-1 Fancy and B Grade Oil. There are approximately $9,000 in joint costs that Earl may allocate using the relative sales value at splitoff or the net...
-
The standard cost card for Balsam indicates each unit of product should take 1.5 hours of direct labor at a cost of $10 per hour. During the current period, Balsam produced 3,000 units, used 5,000...
-
An experimenter wants to do an analysis of variance on a set of data involving five treatment groups, each with three replicates. She has computed .j and Sj for each group and gotten the results...
-
The Center for Information Technology at State University has outgrown its office in Bates (B) Hall and is moving to Allen (A) Hall, which has more space. The move will take place during the 3-week...
-
The 2009 financial statements of Tootsie Roll Industries, Inc. are provided in Appendix A. Instructions Refer to Tootsie Rolls financial statements to answer the following questions. (a) What were...
-
In January, Roger Burke loaned his favorite nephew, JimmyWhite, his valuable Picasso painting. Knowing that Jimmy would celebrate his twenty-first birthday on May 15, Burke sent a letter to Jimmy on...
-
The following income statement was prepared by Case Company for Year 2 : Sales $ 1 1 8 , 0 0 0 Cost of goods sold 7 0 , 0 0 0 Gross margin 4 8 , 0 0 0 Selling and administrative expense 3 0 , 5 0 0...
-
When evaluating research, what factors should be considered? Why are these factors important? Provide some examples to illustrate the importance of each factor. With reference
-
Assume the Capital Asset Pricing Model is true. The risk-free rate is 2% and the market risk premium is 7%. What is the alpha of the market?
-
Determine the intervals on which the following function is concave up or concave down. Identify any infection points f(x) = - 6x In (4x) Select the correct choice below a
-
1. [10+6 pts] Let f(x) = x-1+x4 (a) Find f'(x) using the definition of the derivative. No marks will be given if the definition is not used. (b) If f(x) is differentiable at x = a, with a > 0,...
-
Rocket Company produces two products: Alpha and Beta. The following table provides information about the two products and budgeted sales for the upcoming year. Rocket Company keeps no finished...
-
As a rule, potential outcomes of a random variable in a decision tree are represented by terminal positions decision nodes terminal positions with branches chance nodes branches
-
2 D Bohimil has a T4 slip that indicates a pension adjustment of $8,900. What statement is true? O a) Bohimil must include this amount in his taxable income. Ob) Bohimil can deduct this amount from...
-
What is the difference between adsorption and absorption?
-
Omar Corporation, which has begun investing in trading securities, engaged in the following transactions: Jan. 6 Purchased 7,000 shares of Quaker Oats stock, $30 per share. Feb. 15 Purchased 9,000...
-
Payroll for piece-rate wage system LPGA Manufacturing Company operates on a modified wage plan. During one week's operation, the following direct labor costs were incurred: Required: 1. Compute the...
-
Payment and distribution of payroll Similar to Self-Study Problem The general ledger of Smoke Stack Mfg. Inc. showed the following credit balances on January 15: FICA Tax Payable Employees Income Tax...
Study smarter with the SolutionInn App