1. ABC Corp is the owner of MBT bottling, a bulk soft-drink producer. A single process yields tow bulk soft drinks: Rain Dew (Main product) and Resi Dew (by product). Both products are fully processed at the split off point and there are no separable cost.For July 2015, the cost of soft drink operations is P 120,000 (Joint cost). Production and sales data are as follows: Main product and by product’s production are 20,000 liters and 4,000 liters, respectively ; sales price is 12 per liter for main and 2 per liter for by product; the unsold liters are 4,000 liters for Main product and 600 liters for by product. Operating expenses are as follows: Rent expense of P 5,000; salaries expense of P 4,000 and other expenses of P 6,000. By-Product is recognized at time of production. There were no beginning inventories on July 1, 2015. What is the gross margin for the company? choose the answer from the following: 99,200 84,200 102,000 96,200 None of the above 2. ABC Corp is the owner of MBT bottling, a bulk soft-drink producer. A single process yields tow bulk soft drinks: Rain Dew (Main product) and Resi Dew (by product). Both products are fully processed at the split off point and there are no separable cost.For July 2015, the cost of soft drink operations is P 120,000 (Joint cost). Production and sales data are as follows: Main product and by product’s production are 20,000 liters and 4,000 liters, respectively ; sales price is 12 per liter for main and 2 per liter for by product; the unsold liters are 4,000 liters for Main product and 600 liters for by product. Operating expenses are as follows: Rent expense of P 5,000; salaries expense of P 4,000 and other expenses of P 6,000. By-Product is recognized at time of production. There were no beginning inventories on July 1, 2015. What is the ending inventory for main product? choose the answer from the following: 23,200 24,000 23,440 Zero None of the above
1. ABC Corp is the owner of MBT bottling, a bulk soft-drink producer. A single process yields tow bulk soft drinks: Rain Dew (Main product) and Resi Dew (by product). Both products are fully processed at the split off point and there are no separable cost.For July 2015, the cost of soft drink operations is P 120,000 (Joint cost). Production and sales data are as follows: Main product and by product’s production are 20,000 liters and 4,000 liters, respectively ; sales price is 12 per liter for main and 2 per liter for by product; the unsold liters are 4,000 liters for Main product and 600 liters for by product. Operating expenses are as follows: Rent expense of P 5,000; salaries expense of P 4,000 and other expenses of P 6,000. By-Product is recognized at time of production. There were no beginning inventories on July 1, 2015. What is the gross margin for the company?
choose the answer from the following:
- 99,200
- 84,200
- 102,000
- 96,200
- None of the above
2. ABC Corp is the owner of MBT bottling, a bulk soft-drink producer. A single process yields tow bulk soft drinks: Rain Dew (Main product) and Resi Dew (by product). Both products are fully processed at the split off point and there are no separable cost.For July 2015, the cost of soft drink operations is P 120,000 (Joint cost). Production and sales data are as follows: Main product and by product’s production are 20,000 liters and 4,000 liters, respectively ; sales price is 12 per liter for main and 2 per liter for by product; the unsold liters are 4,000 liters for Main product and 600 liters for by product. Operating expenses are as follows: Rent expense of P 5,000; salaries expense of P 4,000 and other expenses of P 6,000. By-Product is recognized at time of production. There were no beginning inventories on July 1, 2015. What is the ending inventory for main product?
choose the answer from the following:
- 23,200
- 24,000
- 23,440
- Zero
- None of the above
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
