Chem Manufacturing Company processes direct materials up to the split-off point where two products (X and Y) are obtained and sold. The following information was collected for the month of November Direct materials processed 10.900 gallons (10.900 gallons yield 10,400 gallons of good product and 500 gallons of shrinkage) Production: X Y Sales X Y OA. 31% OB. 35% OC 55% OD. 45% 5.700 gallons 4,700 gallons 5.450 at $150 per gallon 4,450 at $50 per gallon The cost of purchasing 10,900 gallons of direct materials and processing it up to the split-off point to yield a total of 10,400 gallons of good products was $1.075.000 The beginning inventories totaled 25 gallons for X and 320 gallons for Y Ending inventory amounts reflected 555 gallions of Product X and 370 gallons of Product Y October costs per unit were the same as November Using the physical-volume method, what is Product X's approximate gross-margin percentage? (Round all intermediary calculations to decimal places)

Chem Manufacturing Company processes direct materials up to the split-off point where two products (X and Y) are obtained and sold. The following information was collected for the month of November Direct materials processed 10.900 gallons (10.900 gallons yield 10,400 gallons of good product and 500 gallons of shrinkage) Production: X Y Sales X Y OA. 31% OB. 35% OC 55% OD. 45% 5.700 gallons 4,700 gallons 5.450 at $150 per gallon 4,450 at $50 per gallon The cost of purchasing 10,900 gallons of direct materials and processing it up to the split-off point to yield a total of 10,400 gallons of good products was $1.075.000 The beginning inventories totaled 25 gallons for X and 320 gallons for Y Ending inventory amounts reflected 555 gallions of Product X and 370 gallons of Product Y October costs per unit were the same as November Using the physical-volume method, what is Product X's approximate gross-margin percentage? (Round all intermediary calculations to decimal places)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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