The All-Inclusive Corporation manufactures 2 main products Thingone and Thingtwo, in addition to byproduct X from a joint process. In September 2020 production was 8,000 units of Thingone; 10,000 units of Thingtwo; and 50,000 units of Xs. Per unit selling prices at the splitoff point were $40, $30, and $0.02 respectively. Joint costs up to the splitoff point were $155, 250. If joint costs are allocated based upon the sales value at splitoff, what amount of joint costs will be allocated to byproduct Xs?

The All-Inclusive Corporation manufactures 2 main products Thingone and Thingtwo, in addition to byproduct X from a joint process. In September 2020 production was 8,000 units of Thingone; 10,000 units of Thingtwo; and 50,000 units of Xs. Per unit selling prices at the splitoff point were $40, $30, and $0.02 respectively. Joint costs up to the splitoff point were $155, 250. If joint costs are allocated based upon the sales value at splitoff, what amount of joint costs will be allocated to byproduct Xs?

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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