Exercise 8-8. JOINT COST ALLOCATION & BYPRODUCT ALLOCATION - MARKET VALUE МЕТHOD The BAR Company manufactures joint products A and R as well as byproduct B. Cumulative cost data for the period show P204,000 representing 20,000 completed units processed through the Refining Department at an average cost of P10.20. Costs are assigned to A and R by the market value method which considers further processing costs in subsequent operations. To determine the cost allocation to B, the market value (reversal cost) method is used. Additional data: В 2,000 R 10,000 8,000 Quantity processed Sales price per unit Further processing cost per unit Selling and general expenses per unit Operating profit per unit REQUIRED: Cumulative cost allocated to B, A, and R P 5.00 P20.00 P25.00 1.00 5.00 7.00 1.00 1.00

Exercise 8-8. JOINT COST ALLOCATION & BYPRODUCT ALLOCATION - MARKET VALUE МЕТHOD The BAR Company manufactures joint products A and R as well as byproduct B. Cumulative cost data for the period show P204,000 representing 20,000 completed units processed through the Refining Department at an average cost of P10.20. Costs are assigned to A and R by the market value method which considers further processing costs in subsequent operations. To determine the cost allocation to B, the market value (reversal cost) method is used. Additional data: В 2,000 R 10,000 8,000 Quantity processed Sales price per unit Further processing cost per unit Selling and general expenses per unit Operating profit per unit REQUIRED: Cumulative cost allocated to B, A, and R P 5.00 P20.00 P25.00 1.00 5.00 7.00 1.00 1.00

Name: Exercise 8-8. JOINT COST ALLOCATION & BYPRODUCT ALLOCATION - MARKET V
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Description: Exercise 8-8. JOINT COST ALLOCATION & BYPRODUCT ALLOCATION - MARKET VALUEМЕТHODThe BAR Company manufactures joint products A and R as well as byproduct B. Cumulative costdata for the period show P204,000 representing 20,000 completed units processed

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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