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A split of point arises immediately after three series of continuous processes. Three products A, B and C arc produced where each product have its significant market value. At the same point product F emerge as a secondary product.
Product Unit Selling Price Quantity
(RM) (Litre)
A 10.00 500
B 15.00 400
C 20.00 300
F 2.00 200
Total joint costs are RM 10,000 with input materials at 1,400 gallons. No losses and no partly complete unit arise in the third process.
Question 1: How to use the net realizable value method to prepare process 3 account and joint products profit statement ?
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