Joint Cost Allocation—Physical Units Method Blake’s Blacksmith Co. produces two types of shotguns, a 12-gauge and 20-gauge. The shotguns are made through a joint production process that ultimately produces 28 12-gauge shotguns and 12 20-gauge shotguns and costs a total of $4,200 per batch. After the split-off point, each type of shotgun goes through an additional crafting process before it is sold. The additional production process of the 12-gauge shotgun costs $28 per gun, after which it is sold for $180 per gun. The additional production process of the 20-gauge shotgun costs $20 per gun, after which it is sold for $152 per gun. Determine the amount of joint production costs allocated to each type of shotgun using the physical units method. Joint Product Allocation 12-gauge shotgun $ 20-gauge shotgun Totals $
Joint Cost Allocation—Physical Units Method
Blake’s Blacksmith Co. produces two types of shotguns, a 12-gauge and 20-gauge. The shotguns are made through a joint production process that ultimately produces 28 12-gauge shotguns and 12 20-gauge shotguns and costs a total of $4,200 per batch. After the split-off point, each type of shotgun goes through an additional crafting process before it is sold. The additional production process of the 12-gauge shotgun costs $28 per gun, after which it is sold for $180 per gun. The additional production process of the 20-gauge shotgun costs $20 per gun, after which it is sold for $152 per gun.
Determine the amount of joint production costs allocated to each type of shotgun using the physical units method.
| Joint Product | Allocation |
| 12-gauge shotgun | $ |
| 20-gauge shotgun | |
| Totals | $ |
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