Marin Products produces three products – DBB-1, DBB-2, and DBB-3 from a joint process. Each product may be soldat the split-off point or processed further. Additional processing requires no special facilities, and production costs offurther processing are entirely variable and traceable to the products involved. Key information about Marin'sproduction, sales, and costs follows.DBB-1DBB-2DBB-3TotalUnits Sold16,00024,00036,00076,000Price (after addt'l processing) $65 $50 $75Separable Processing cost$110,000 $44,000 $66,000 $220,000Units Produced16,00024,00036,00076,000Total Joint Cost$3,600,000Sales Price at Split-off25 $35 $55The amount of joint costs allocated to product DBB-3 using the sales value at split-off method is (calculate all ratiosand percentages to 2 decimal places, for example 33.33%, and round all dollar amounts to the nearest whole dollar):

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FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

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Chapter1: Financial Statements And Business Decisions

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Question

Marin Products produces three products – DBB-1, DBB-2, and DBB-3 from a joint process. Each product may be sold
at the split-off point or processed further. Additional processing requires no special facilities, and production costs of
further processing are entirely variable and traceable to the products involved. Key information about Marin's
production, sales, and costs follows.
DBB-1
DBB-2
DBB-3
Total
Units Sold
16,000
24,000
36,000
76,000
Price (after addt'l processing) $
65 $
50 $
75
Separable Processing cost
$110,000 $44,000 $66,000 $
220,000
Units Produced
16,000
24,000
36,000
76,000
Total Joint Cost
$3,600,000
Sales Price at Split-off
25 $
35 $
55
The amount of joint costs allocated to product DBB-3 using the sales value at split-off method is (calculate all ratios
and percentages to 2 decimal places, for example 33.33%, and round all dollar amounts to the nearest whole dollar):

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