Q3. SFC Company is in the manufacturing process of wooden products and makes several wooden items. The following is the information related to three products manufactured by SFC company: Product X, Y, and Z. The joint costs of the three products in 2015 were SAR 110,000. The total number of units for each product and the selling price per unit is given below: Products X Y N Units 5,000 3,500 2,200 Selling Price per unit SAR 150 SAR 125 SAR 100 (Week 10, Chapter 9) Using the physical volume method and sales value at the split-off method, allocate the joint costs to each product.

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Pricing

Pricing is used as a term in finance and economics, pricing is the process of fixing a value for a product or a service. Pricing establishes a value for a product or service that the customer has to pay. A business can choose from different strategies while deciding to set prices.