Qty produced and sold for main product and By product are 1,000 units and 120 units, respectively. Sales price per unit are 100 and 20 for Main and By product , respectively. Further processing cost of main products is 10,000 while by product incurred 800. Joint cost is 80,000. Assuming the profit margin for by products 10%. Using reversal method to account for By product, wat is the allocated JC to Main product?

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The reversal method is a way to allocate joint costs to main products and byproducts based on their ... View the full answer