Solution-Compute unit costs if c is a by-product

Compute unit costs if c is a by-product

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Reference no: EM132752574

A Manufacturing Company makes three products: A and B are considered main products and C a by-product.

Production and sales for the year were:

220,000 lbs. of Product A, salable at $6.00

180,000 lbs. of Product B, salable at $3.00

50,000 lbs. of Product C, salable at $.90

Production costs for the year:

Joint costs $276,600

Costs after separation:

Product A 320,000

Product B 190,000

Product C 6,900

Problem 1: Using the by-product revenue as a cost reduction and net realizable value method of assigning joint costs, compute unit costs (a) if C is a by-product of the process and (b) if C is a by-product of B.

Reference no: EM132752574

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Compute unit costs if c is a by-product

Reference no: EM132752574

Reference no: EM132752574

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