How much cost should be allocated to milk

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Dairy allocates the cost of unprocessed milk to the production of milk, cream, butter and cheese. For the current period, unprocessed milk was purchased for $260,000, and the following quantities of product and sales revenues were produced. How much of the $260,000 cost should be allocated to milk? (rounded)

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How much of the $260,000 cost should be allocated to milk? (Rounded)

a. $32,200. 
b. $39,100. 
c. $149,500. 
d. $0. 
e. $104,969. 

Reference no: EM13947757

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