Gaber Company produces two main products jointly, X and Y, and a by-product Z, which is...

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Gaber Company produces two main products jointly, X and Y, and a by-product Z, which is a by-product of Y. X and Y are produced form the same raw material. Z is manufactured from the residue of the process creating Y. Costs before separation are apportioned between the two main products by the net realizable value method. The net revenue realized from the sale of Z is deducted from the cost of Y. Data for April were as follows: Costs before separation (Joint Costs) $200,000 Product Cost to process further X Y Z Units Produced 800,000 200,000 20,000 $50,000 $32,000 $4,000 Sales Value after processing $0.4375 $ 0.65 $0.30 Required: Determine the gross profit for April. Units sold 640,000 180,000 20,000 Gaber Company produces two main products jointly, X and Y, and a by-product Z, which is a by-product of Y. X and Y are produced form the same raw material. Z is manufactured from the residue of the process creating Y. Costs before separation are apportioned between the two main products by the net realizable value method. The net revenue realized from the sale of Z is deducted from the cost of Y. Data for April were as follows: Costs before separation (Joint Costs) $200,000 Product Cost to process further X Y Z Units Produced 800,000 200,000 20,000 $50,000 $32,000 $4,000 Sales Value after processing $0.4375 $ 0.65 $0.30 Required: Determine the gross profit for April. Units sold 640,000 180,000 20,000

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Joint Cost The joint costs are expenses incurred toward the production of more than one product Thes... View the full answer