NW Flour Company buys 1 input of standard flour and refines it using a special sifting process to 3 cups of baking flour and 9 cups of bread flour. In May 2017, NWbought 11,200 inputs of flour for $88,500. NW spent another $47,700 on the special sifting process. The baking flour can be sold for $3.65 per cup and the bread flourfor $4.95 per cup.1NW puts the baking flour through a second process so it is super fine. This costs an additional $1 per cup of baking flour and the process yieldscup of super-finebaking flour for every one cup of baking flour used. The super-fine baking flour sells for $9.90 per cup.RequiredRequirement 1a. Allocate the $136,200 joint cost to the super-fine baking flour and the bread flour using the physical-measure method (using cups) of joint-costallocation. (Round the weights to four decimal places. Round the joint costs allocated to the nearest whole dollar.)Baking FlourPhysical measure of total production (in cups)WeightingJoint costs allocatedBread FlourTotal

The method of joint cost allocation in cost accounting is used to assign the common expenses…

lour cups baking hour and cups ompany buys input ines using special shung bought 11,200 inputs of flour for $88,500. NW spent another $47,700 on the special sifting process. The baking flour can be sold for $3.65 per cup for $4.95 per cup. 1 NW puts the baking flour through a second process so it is super fine. This costs an additional $1 per cup of baking flour and the process yields baking flour for every one cup of baking flour used. The super-fine baking flour sells for $9.90 per cup. Required

lour cups baking hour and cups ompany buys input ines using special shung bought 11,200 inputs of flour for $88,500. NW spent another $47,700 on the special sifting process. The baking flour can be sold for $3.65 per cup for $4.95 per cup. 1 NW puts the baking flour through a second process so it is super fine. This costs an additional $1 per cup of baking flour and the process yields baking flour for every one cup of baking flour used. The super-fine baking flour sells for $9.90 per cup. Required

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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