Soy Products produces two products, Soyburgers and Soy steaks, in a single process. In 2016, the Joint
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Question:
Soy Products produces two products, Soyburgers and Soy steaks, in a single process. In 2016, the Joint costs of this process were $36,000, In addition, 20,000 pounds of soyburgers and 10,000 pounds of soy steaks were produced. Separable processing costs beyond the split-off point were: soyburgers, $7,500: soy steaks $4,500. Soyburgers sells for $2 per pound; Soy steaks sells for $4 per pound.
Required:
a. Allocate the joint costs using the net realizable value method.
b. Allocate the joint costs using the physical units method.
Related Book For
Managerial Economics Theory Applications and Cases
ISBN: 978-0393912777
8th edition
Authors: Bruce Allen, Keith Weigelt, Neil A. Doherty, Edwin Mansfield
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