Double Company produces three products — DBB-1, DBB-2, and DBB-3 from a joint process. Each product may be sold at the split-off point or processed further. Additional processing requires no special facilities, and production costs of further processing are entirely variable and traceable to the products involved. Key information about Double's production, sales, and costs follows. DBB-1DBB-2DBB-3TotalUnits Sold16,20024,30036,30076,800Price (after additional processing)$ 65$ 50$ 75 Separable Processing cost$ 112,000$ 46,000$ 68,000$ 226,000Units Produced16,20024,30036,30076,800Total Joint Cost $ 3,610,000Sales Price at Split-off$ 25$ 35$ 55 The amount of joint costs allocated to product DBB-1 using the physical measure method is: Multiple Choice $752,083. $761,484. $1,706,289. $1,203,333. $1,142,227. Double Company produces three products - DBB-1, DBB-2, and DBB-3 from a joint process. Each product may be sold at the split-off point or processed further. Additional processing requires no special facilities.and production costs of further processing are entirely variable and traceable to the products involved. Key information about Double's production, sales, and costs follows.Units SoldPrice (after additional processing)DBB-116,200$65$ 112,00016,200DBB-224,300$ 50$25Separable Processing costUnits ProducedTotal Joint CostSales Price at Split-offThe amount of joint costs allocated to product DBB-1 using the physical measure method is:$ 46,00024,300$35DBB-336,300$75$ 68,00036,300$55Total76,800$ 226,00076,800$ 3,610,000

The Physical Measure Method is a common approach used to allocate joint costs to individual…

Answered: Double Company produces three products…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Double Company produces three products — DBB-1, DBB-2, and DBB-3 from a joint process. Each product may be sold at the split-off point or processed further. Additional processing requires no special facilities, and production costs of further processing are entirely variable and traceable to the products involved. Key information about Double's production, sales, and costs follows.

	DBB-1	DBB-2	DBB-3	Total
Units Sold	16,200	24,300	36,300	76,800
Price (after additional processing)	$ 65	$ 50	$ 75
Separable Processing cost	$ 112,000	$ 46,000	$ 68,000	$ 226,000
Units Produced	16,200	24,300	36,300	76,800
Total Joint Cost				$ 3,610,000
Sales Price at Split-off	$ 25	$ 35	$ 55

The amount of joint costs allocated to product DBB-1 using the physical measure method is:

Multiple Choice

$752,083.
$761,484.
$1,706,289.
$1,203,333.
$1,142,227.

Double Company produces three products - DBB-1, DBB-2, and DBB-3 from a joint process. Each product may be sold at the split-off point or processed further. Additional processing requires no special facilities.
and production costs of further processing are entirely variable and traceable to the products involved. Key information about Double's production, sales, and costs follows.
Units Sold
Price (after additional processing)
DBB-1
16,200
$65
$ 112,000
16,200
DBB-2
24,300
$ 50
$25
Separable Processing cost
Units Produced
Total Joint Cost
Sales Price at Split-off
The amount of joint costs allocated to product DBB-1 using the physical measure method is:
$ 46,000
24,300
$35
DBB-3
36,300
$75
$ 68,000
36,300
$55
Total
76,800
$ 226,000
76,800
$ 3,610,000

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