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BSBA Company produced two joint products A and B, and by-products C and D from the same raw materials with joint costs P200,000. The entity uses net realizable value in allocating joint costs to joint products. Other information are as follows: Units produced (20,000; 30,000; 5,000 and 5,000); Unit sold (18.000; 25,000; 5,000 and 5,000); Final unit selling prices (P25.00; P20.00; P2.00 and P1.50): Further processing costs (P150,000; P210.000; P5,000 and P4,000); Selling and Administrative expenses (P15,000; P21,000; P500 and P400): Desired profit on C and D (P2,000 and P1,500). If the joint costs are allocated to by-products using the reversal cost method, what is the total costs of by products? O P11,136 OP12,036 P13,100 OP14.000 BSBA Company produced two joint products A and B, and by-products C and D from the same raw materials with joint costs P200,000. The entity uses net realizable value in allocating joint costs to joint products. Other information are as follows: Units produced (20,000; 30,000; 5,000 and 5,000); Unit sold (18,000; 25,000: 5,000 and 5,000); Final unit selling prices (P25.00: P20.00; P2.00 and P1.50): Further processing costs (P150,000; P210,000; P5,000 and P4,000): Selling and Administrative expenses (P15,000; P21,000; P500 and P400): Desired profit on C and D (P2,000 and P1,500). If the net proceeds of sale of by-products are presented as reduction from cost of goods sold of the main products. what is the amount of operating profit from joint products only?" P438,589 P438,300 P432.836 P430,989

BSBA Company produced two joint products A and B, and by-products C and D from the same raw materials with joint costs P200,000. The entity uses net realizable value in allocating joint costs to joint products. Other information are as follows: Units produced (20,000; 30,000; 5,000 and 5,000); Unit sold (18.000; 25,000; 5,000 and 5,000); Final unit selling prices (P25.00; P20.00; P2.00 and P1.50): Further processing costs (P150,000; P210.000; P5,000 and P4,000); Selling and Administrative expenses (P15,000; P21,000; P500 and P400): Desired profit on C and D (P2,000 and P1,500). If the joint costs are allocated to by-products using the reversal cost method, what is the total costs of by products? O P11,136 OP12,036 P13,100 OP14.000 BSBA Company produced two joint products A and B, and by-products C and D from the same raw materials with joint costs P200,000. The entity uses net realizable value in allocating joint costs to joint products. Other information are as follows: Units produced (20,000; 30,000; 5,000 and 5,000); Unit sold (18,000; 25,000: 5,000 and 5,000); Final unit selling prices (P25.00: P20.00; P2.00 and P1.50): Further processing costs (P150,000; P210,000; P5,000 and P4,000): Selling and Administrative expenses (P15,000; P21,000; P500 and P400): Desired profit on C and D (P2,000 and P1,500). If the net proceeds of sale of by-products are presented as reduction from cost of goods sold of the main products. what is the amount of operating profit from joint products only?" P438,589 P438,300 P432.836 P430,989

Principles of Cost Accounting
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter6: Process Cost Accounting—additional Procedures; Accounting For Joint Products And By-products
Section: Chapter Questions
Problem 13P: Venezuela Oil Inc. transports crude oil to its refinery where it is processed into main products...
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BSBA Company produced two joint products A and B. and by-products and D from the same raw materials with joint costs P200,000. The entity uses net realizable value in allocating joint costs to joint products. Other information are as follows: Units produced (20.000; 30,000: 5.000 and 5,000); Unit sold (18.000: 25.000; 5,000 and 5.000); Final unit selling prices (P25.00: P20.00; 2.00 and P1.50): Further processing costs (P150.000; P210.000; P5,000 and P4,000); Selling and Administrative expenses (P15,000: P21,000; P500 and P400); Desired profit on C and D (P2,000 and P1,500). If the joint costs are allocated to by-products using the reversal cost method, what is the total costs of by products?* P11,136 P12,036 P13,100 P14,000 BSBA Company produced two joint products A and B. and by-products C and D from the same raw materials with joint costs P200,000. The entity uses net realizable value in allocating joint costs to joint products. Other information are as follows: Units produced (20.000; 30,000: 5,000 and 5,000); Unit sold (18.000: 25.000; 5,000 and 5.000); Final unit selling prices (P25.00: P20.00; 92.00 and P1.50): Further processing costs (P150,000; P210.000; P5,000 and P4,000); Selling and Administrative expenses (P15,000: P21,000: P500 and P400); Desired profit on C and D (P2,000 and P1,500). If the net proceeds of sale of by-products are presented as reduction from cost of goods sold of the main products, what is the amount of operating profit from joint products only?* P438,589 P438,300 P432,836 P430,989
Transcribed Image Text:BSBA Company produced two joint products A and B. and by-products and D from the same raw materials with joint costs P200,000. The entity uses net realizable value in allocating joint costs to joint products. Other information are as follows: Units produced (20.000; 30,000: 5.000 and 5,000); Unit sold (18.000: 25.000; 5,000 and 5.000); Final unit selling prices (P25.00: P20.00; 2.00 and P1.50): Further processing costs (P150.000; P210.000; P5,000 and P4,000); Selling and Administrative expenses (P15,000: P21,000; P500 and P400); Desired profit on C and D (P2,000 and P1,500). If the joint costs are allocated to by-products using the reversal cost method, what is the total costs of by products?* P11,136 P12,036 P13,100 P14,000 BSBA Company produced two joint products A and B. and by-products C and D from the same raw materials with joint costs P200,000. The entity uses net realizable value in allocating joint costs to joint products. Other information are as follows: Units produced (20.000; 30,000: 5,000 and 5,000); Unit sold (18.000: 25.000; 5,000 and 5.000); Final unit selling prices (P25.00: P20.00; 92.00 and P1.50): Further processing costs (P150,000; P210.000; P5,000 and P4,000); Selling and Administrative expenses (P15,000: P21,000: P500 and P400); Desired profit on C and D (P2,000 and P1,500). If the net proceeds of sale of by-products are presented as reduction from cost of goods sold of the main products, what is the amount of operating profit from joint products only?* P438,589 P438,300 P432,836 P430,989
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