Stonebrook Company produces two products (P and Q) from a joint process. Each product will be...
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Stonebrook Company produces two products (P and Q) from a joint process. Each product will be processed further beyond the split-off point. Joint manufacturing costs for the year were $60,000. Sales values and other costs were as follows: Product P Q Sales Value Separable Cost $11,500 $9,500 $85,000 $95,000 Required: If the joint production costs are allocated based on the constant gross profit margin (%) method, what is the amount of joint cost allocated to product Q? (5 marks) Stonebrook Company produces two products (P and Q) from a joint process. Each product will be processed further beyond the split-off point. Joint manufacturing costs for the year were $60,000. Sales values and other costs were as follows: Product P Q Sales Value Separable Cost $11,500 $9,500 $85,000 $95,000 Required: If the joint production costs are allocated based on the constant gross profit margin (%) method, what is the amount of joint cost allocated to product Q? (5 marks)
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Related Book For
Cost Accounting A Managerial Emphasis
ISBN: 978-0136126638
13th Edition
Authors: Charles T. Horngren, Srikant M.Dater, George Foster, Madhav
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