Novak produces four kinds of ice cream from a single process. The total joint costs of $87,800 resulted in 3,000 gallons of vanilla, 3,300 gallons of strawberry, 1,900 gallons of chocolate, and 900 gallons of Neapolitan ice cream. Novak sells the vanilla ice cream for $2.00/gallon and sells each of the other three flavors for $2.50/gallon. How much of the joint cost will be allocated to each product if the sales value at split-off method is used? (Round proportion to 4 decimal places, e.g. 0.2513 and final answers to O decimal places, e.g. 5,125.)

Novak produces four kinds of ice cream from a single process. The total joint costs of $87,800 resulted in 3,000 gallons of vanilla, 3,300 gallons of strawberry, 1,900 gallons of chocolate, and 900 gallons of Neapolitan ice cream. Novak sells the vanilla ice cream for $2.00/gallon and sells each of the other three flavors for $2.50/gallon. How much of the joint cost will be allocated to each product if the sales value at split-off method is used? (Round proportion to 4 decimal places, e.g. 0.2513 and final answers to O decimal places, e.g. 5,125.)

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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