Garrison Co. produces three products – X, Y, and Z- from a joint process. Each product may besold 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 productsinvolved. Last year all three products were processed beyond split-off. Joint production costs forthe year were $120,000. Sales values and costs needed to evaluate Garrison's production policyfollow.UnitsSales Value atIf Processed FurtherProductProducedSplit OffSales ValueAdditional Costs$ 40,000$ 80,00040,000$ 1,2006,000y3,00015,0003,0001,00016,00030,0001,500The amount of joint costs allocated to product Z using the sales value at split-off method is(calculate all ratios and percentages to 4 decimal places, for example 33.3333%, and round alldollar amounts to the nearest whole dollar):

Name: Garrison Co. produces three products – X, Y, and Z- from a joint proc
Uploaded: 2024-03-20T06:32:49.000Z
Channel: Bartleby
Description: Garrison Co. produces three products – X, Y, and Z- from a joint process. Each product may besold at the split-off point or processed further. Additional processing requires no special facilities,and production costs of further processing are entire

Answer : Amount of joint costs allocated to product Z is $ 12,000 as Total units = X is 6,000 + Y is…

Business

Accounting

Garrison Co. produces three products – X, Y, and Z– from a joint process. Each product may be sold at the split-off point or processed further. Additional processing requires no special facilities,

Garrison Co. produces three products – X, Y, and Z– from a joint process. Each product may be sold at the split-off point or processed further. Additional processing requires no special facilities,

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Christie's Co. manufactures cookies. The company has two departments, Mixing and Baking. For the Baking Department, material is added at the beginning of the process. Work happens evenly throughout the process, so Conversion Costs are added evenly to the product. Once mixing is complete, the cookies pieces are immediately transferred to the Baking Department. Once the baking is complete, the final product is transferred to Finished Goods Inventory. Data for the Baking Department is as follows: Units Transfer $ DirectMaterials $ % Complete Conv Costs % Complete Opening WIP 550 $3,500 $2,800 100% $2,100 30% New units & Costs 2,000 $12,300 $8,100 $14,000 Ending WIP 680 ??? 65% Calculate the physical and equivalent units for Transferred-In, Direct Materials and Conversion Costs
Muskoge Company uses a process-costing system. The company manufactures a product that isprocessed in two departments: Molding and Assembly. In the Molding Department, directmaterials are added at the beginning of the process; in the Assembly Department, additionaldirect materials are added at the end of the process. In both departments, conversion costs areincurred uniformly throughout the process. As work is completed, it is transferred out. Thefollowing table summarizes the production activity and costs for February: Molding AssemblyBeginning inventories: Physical units 10,000 8,000 Costs: Transferred in — $ 45,400 Direct materials $22,000 — Conversion costs $13,800 $ 16,700Current production: Units started 25,000 ? Units transferred out 30,000 35,000 Costs: Transferred in — ? Direct materials $ 56,250 $ 40,250 Conversion costs $103,500 $142,845 Percentage of completion: Beginning inventory 40% 55% Ending inventory 80 50Required:3. Using the FIFO method, prepare the following for…
Atkinson, Inc., manufactures products A, B, and C from a common process. Joint costs were $154,680. Additional information is as follows: If Processed Further Product UnitsProduced Sales Value at Split-Off Sales Value Additional Costs A 7,110 $ 46,660 $ 64,435 $ 4,740 B 8,150 70,905 91,280 12,225 C 4,075 48,900 61,125 16,300 19,335 $ 166,465 $ 216,840 $ 33,265 Assuming that joint product costs are allocated using the net realizable value method, what were the total costs assigned to Product B? Multiple Choice $78,110. $77,906. $77,110. $79,396.
Marin Products 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 Marin's production, sales, and costs follows. DBB-1 DBB-2 DBB-3 Total Units Sold 16,000 25,000 36,000 77,000 Price (after addt’l processing) $ 30 $ 15 $ 40 Separable Processing cost $ 179,000 $ 72,000 $ 107,000 $ 358,000 Units Produced 16,000 25,000 36,000 77,000 Total Joint Cost $ 3,600,000 Sales Price at Split-off $ 20 $ 30 $ 50 The amount of joint costs allocated to product DBB-2 using the sales value at split-off method is (calculate all ratios and percentages to 2 decimal places, for example 33.33%, and round all dollar amounts to the…
FIFO Method, Two-Department Analysis Muskoge Company uses a process-costing system. The company manufactures a product that is processed in two departments: Molding and Assembly. In the Molding Department, direct materials are added at the beginning of the process; in the Assembly Department, additional direct materials are added at the end of the process. In both departments, conversion costs are incurred uniformly throughout the process. As work is completed, it is transferred out. The following table summarizes the production activity and costs for February: Molding Assembly Beginning inventories: Physical units 10,000 8,000 Costs: Transferred in — $45,300 Direct materials $22,000 — Conversion costs $13,800 $16,900 Current production: Units started 25,000 ? Units transferred out 30,000 35,000 Costs: Transferred in — ? Direct materials…
Four of the following eight statements are patently false. Find the four false statements. The other statements are true. For the false statements, mark the words that make the statement false. T/F Comments 1. A simplified explanation of ABC is that it attempts to divide production into its core activities, define the costs for those activities, and then allocate those costs to products based on how much of a particular activity is needed to produce a product. 2. ABC maintains the traditional division between product and period costs. 3. ABC charges products with the costs of manufacturing and nonmanufacturing activities, and some manufacturing costs are not attached to products. 4. Under ABC, idle capacity is typically isolated and allocated to products and services. 5. ABC is suitable for public reporting. 6. With ABC, the "cost objects" are broadened to include not only products/services, but other objects like customers, markets, and so on.…
1. Is the spoilage a normal or an abnormal spoilage? - Normal or Abnormal 2. What is the EUP for materials? 3. How many units were transferred out? 4. What is the EUP for conversion costs?
Marin Products 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 Marin's production, sales, and costs follows. DBB-1 DBB-2 DBB-3 Total Units Sold 11,000 17,000 24,000 52,000 Price (after addt’l processing) $ 10 $ 25 $ 30 Separable Processing cost $ 282,000 $ 114,000 $ 169,000 $ 565,000 Units Produced 17,600 31,000 39,400 88,000 Total Joint Cost $ 4,800,000 Sales Price at Split-off $ 20 $ 30 $ 50 The amount of joint costs allocated to product DBB-3 using the physical measure method is (calculate all ratios and percentages to 2 decimal places, for example 33.33%, and round all dollar amounts to the nearest…
Joint (common) costs in a joint production process are relevant for determining: Multiple Choice Which products should be produced internally and which products should be outsourced. The selling price of individual products produced as part of the joint production process. Which products should be produced up to the split-off point in the production process. Whether to produce at all. The set of products that should be subjected to additional processing.
Joint Cost Allocation—Physical Units Method Board-It, Inc., produces the following types of 2 × 4 × 10 wood boards: washed, stained, and pressure treated. These products are produced jointly until they are cut. One batch produces 45 washed boards, 35 stained boards, and 20 pressure treated boards. The joint production process costs a total of $710 per batch. Using the physical units method, allocate the joint production cost to each product. Round your answers to two decimal places.