JUESTION $4(20$ MARKS$)(36$ MINUTES$)$

Khomo Meats $($Pty$)$ Ltd $("$Khomo$")$ is a company that processes and sells beef products to retailers and butcheries in Limpopo. The business is a second$-$generation family$-$owned operation, established in $2003.$ Khomo uses joint costing for its beef cuts, as the me production process before being split into three main joint products: Chuck All three cuts are then further processed into final products and sold.

The physical measures method is used to allocate the joint costs. The financial year ends on $31$ March.

Financial Information for March $2025$:

Joint Products:

Total joint production cost: R$6,300,000$

Further Processing Costs:

$\backslash$table$[[$Product$,$Further Pr$],[($R$),]]$

Sales $($no opening or closing inventory$)$:

$\backslash$table$[[$Product$,$Output $($kg$),\backslash$table$[[$Selling Price$],[($R$/$kg$)]]],[$Chuck$,60,000,110],[$Sirloin$,35,000,130],[$Rump$,25,000,140]]$

By$-$Products:

Tallow, bones, and fat trimmings are sold as by$-$products.

Net realisable value $($NRV$)$ of by$-$products for March: R$700,000$

$\backslash$table$[[(8)$ Biriefy explain the teomain aggogachesto slogatesiont costs and give,$\backslash$table$[[(5)],[(5)]]],[(10)],[($c$),$Calculate Khomo's profic or losse for March $2025$ per joint product and in lotal.,$[20]],[$TOTAL$,,]]$

AREQURED

TOTAL

rand total

$100$ marks