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Question - To-Go produces milk and sour cream from a joint process. During June, the company produced 240,000 quarts of milk and 190,000 pints of sour cream (there are two pints in a quart). Sales value at split-off point was $377,400 for the milk and $177,600 for the sour cream. The milk was assigned $125,800 of the joint cost. Note: Round proportions to the nearest whole percentage and dollar amounts to the nearest whole dollar.
Required -
a. Using the sales value at split-off approach, determine the total joint cost for June.
b. Assume, instead, that the joint cost was allocated based on the number of quarts produced. What was the total joint cost incurred in June?
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