allocates joint costs using physical units method, sales value at split off method, NRV method, and constant gross margin method.

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Betty's Beauty Supply Company purchases a Cremex which is then processed to yield three moisturizing lotions Angelic Crme, Ageless Crme and Antique Crme. In February, Betty purchased 10,000 gallons of Cremex at a cost of $250,000, and the company incurred $100,000 of additional joint conversion costs. June sales and production information are as follows: Gallons Produced Sales Price at Split- 0 Further Processing Cost per Gallon Final Sales $55 $40 $30 Price $55 $40 $60 $0 Angelic Crme 2,000 Ageless Crme 3,000 Antique Crme 5,000 $5 Angelic and Ageless can be sold to other beauty supply stores at the split-off point. Antique can be sold at the split- off point or processed further and packaged for sale as an asthma medication. Allocate the $350,000 of joint cost to the three lotions using Physical units method Sales value at split off method NRV method Constant gross margin method Physical Units Method Sales Value at Split Off Method NRV Method Constant Gross Margin Method Angelic Crme Ageless Crme Antique Crme