ADDITIONAL QUESTION - JOINT COSTS Green Co processes X into various industrial products. In January 2023, Green incurred joint costs of $100,000 to purchase X and convert it into two products: A and B. Although there is an active outside market for B, Green processes all 800 tons of B it produces into 500 tons of C, which is then sold. There were no beginning or ending inventories in January. Information for January 2023 production and sales follows: Joint costs Separable cost of processing 800 tons of B into 500 tons of C Beginning inventory Production Transfer for process further Sales Ending inventory Selling price Joint Costs Product C 100,000 20,000 Product A Product B Product C 0 0 1,200 800 500 800 1,200 500 0 0 0 50 75 200 1. Allocate the joint costs of $100,000 between A and C under the sales value at splitoff method and calculate the cost per ton. Calculate gross margin percentages. Sales value of total production at splitoff point Weighting Joint costs allocated Joint production cost per ton Sales revenue Joint costs Separable costs Gross Margin Gross Margin Percentage 3. Allocate the joint costs of $100,000 between A and C under the NRV method and calculate the cost per ton. Calculate gross margin percentages. Allocation of Joint Costs Using Net Realizable Value Product A Product C Total Final sales value of total production 2. Allocate the joint costs of $100,000 between A and C under the physical-measure Deduct Separable Costs Net Realizable Value at Splitoff point Weighting Joint costs allocated Production cost per It Sales revenue Joint costs Separable costs Gross Margin Gross Margin Percentage Product A Product C Total