Berger Company manufactures products Delta, Kappa, and Omega from a joint process.
Production, sales, and cost data for July follow.

Required:
1. Assuming that joint costs are allocated using the relative-sales-value method, what were the joint costs allocated to products Kappa and Omega?
2. Assuming that joint costs are allocated using the relative-sales-value method what was the sales value at split-off for product Delta?

Transcribed Image Text:

Kappa Omega Delta Total 2,000 Units produced 4,000 1,000 7,000 $36,000 ? $60,000 Joint cost allocation Sales value at split-off $15,000 $100,000 Additional costs if processed further $7,000 $5,000 $3,000 $15,000 $70,000 $25,000 $20,000 $115,000 Sales value if processed further