Compute the amount of joint cost

Assignment Help Financial Accounting

Reference no: EM131284980

Computing Joint Costs–Relative Sales Value Method

R.D. Manufacturing Inc.'s joint cost of producing 1,000 units of Product A, 500 units of Product B, and 500 units of Product C is $20,000. The unit sales values of the three products at the split-off point are Product A – $20, Product B – $200, and Product C – $160. Ending inventories include 100 units of Product A, 200 units of Product B, and 300 units of Product C.

a. Compute the amount of joint cost that would be included in the ending inventory valuation of the three products on the basis of their relative sales values.

b. Assume that Product C can be sold for $200 a unit if it is processed after split-off at a cost of $25 a unit. Compute the amount of joint cost that would be included in the ending inventory valuation of the three products on the basis of their adjusted sales values.

Reference no: EM131284980

Questions Cloud

How you would handle the situation based on what you know : decide how you would handle the situation based on what you know and what you have learned from this course

What is the decision facing colgate palmolive : What is the decision facing Colgate-Palmolive?- What factors are important in understanding this decision situation?

How can globalization hurt your business : How old is globalization? How can globalization help you make money? How can globalization hurt your business?

Gives the details about the migration of people from syria : Provide details about the migration of people from Syria since the beginning of its civil war in 2011, including a discussion of the push and pull factors in migration as well as the destinations of the migrants.

Compute the amount of joint cost : R.D. Manufacturing Inc.'s joint cost of producing 1,000 units of Product A, 500 units of Product B, and 500 units of Product C is $20,000. The unit sales values of the three products at the split-off point are Product A – $20, Product B – $200, and P..

Demonstrates the complementation property for des : This program should take as input a key K and a plaintext P and demonstrate that the DES complementation property holds for this key and plaintext. You may use an existing cryptography library for this exercise.

Research and provide a summary of a recent court case : Utilizing appropriate internet sources, research and provide a summary of a recent court case which was decided in your city or state. What was the outcome? Do you agree? Why, or why not?

How strategic planning differ at corporate and sbu levels : What is strategic, functional, and operational planning? How does strategic planning differ at the corporate and the SBU levels?

What are purpose of accounting codes : In 100 words or more, What are purpose of accounting codes? How are accounting codes used to classify accounting transactions? In your opinion, who in the organization should be responsible for assigning accounting codes during system development?

User Account

All Pages