To determine Joint cost is the cost incurred on the particular process undertaken before split off point. These Costs shall be apportioned among the joint products on some suitable basis to know the profitability of joint products. The allocation of joint cost among the joint products to be done for decision making need to be determined. Explanation The Joint cost is the cost incurred in the common processes from where the different products exist. The allocation of joint cost is not required for decision making purposes as it has to be incurred irrespective of decision regarding further processing of the products or not. However, the allocation of joint cost may create confusion as to be avoidable cost in the minds of managers...

15th Edition

ISBN: 9780078025631

Author: Ray H Garrison, Eric Noreen, Peter C. Brewer Professor

Publisher: McGraw-Hill Education

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Chapter 12, Problem 14Q

To determine

Joint cost is the cost incurred on the particular process undertaken before split off point. These Costs shall be apportioned among the joint products on some suitable basis to know the profitability of joint products.

The allocation of joint cost among the joint products to be done for decision making need to be determined.

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Chapter 12 Solutions

Managerial Accounting

Ch. 12 - Prob. 1Q Ch. 12 - Prob. 2Q Ch. 12 - Prob. 3Q Ch. 12 - Prob. 4Q Ch. 12 - “Variable costs and differential costs mean the...Ch. 12 - 12-6 "All future costs are relevant in decision...Ch. 12 - Prentice Company is considering dropping one of...Ch. 12 - Prob. 8Q Ch. 12 - 12-9 What is the danger in allocating common fixed...Ch. 12 - 12-10 How does opportunity cost enter into a make...

Ch. 12 - 12-11 Give at least four examples of possible...Ch. 12 - 12-12 How will relating product contribution...Ch. 12 - Define the following terms: joint products, joint...Ch. 12 - 12-14 From a decision-making point of view, should...Ch. 12 - What guideline should be used in determining...Ch. 12 - Prob. 16Q Ch. 12 - Prob. 1AE Ch. 12 - Prob. 2AE Ch. 12 - Cane Company manufactures two products called...Ch. 12 - ( Alpha Beta $30 $...Ch. 12 - Prob. 3F15 Ch. 12 - Prob. 4F15 Ch. 12 - Prob. 5F15 Ch. 12 - ( Alpha Beta $30 $...Ch. 12 - Prob. 7F15 Ch. 12 - Cane Company manufactures two products called...Ch. 12 - Prob. 9F15 Ch. 12 - ( Alpha Beta $30 $...Ch. 12 - Prob. 11F15 Ch. 12 - Prob. 12F15 Ch. 12 - ( Alpha ...Ch. 12 - ( Alpha Beta $30 $...Ch. 12 - ( Alpha Beta $30 $...Ch. 12 - EXERCISE 12-1 Identifying Relevant Costs...Ch. 12 - EXERCISE 12-2 Dropping or Retaining a Segment...Ch. 12 - EXERCISE 12-3 Make or Buy Decision LO12-3 Troy...Ch. 12 - EXERCISE 12-4 Special Order Decision...Ch. 12 - EXERCISE 12-5 Volume Trade-Off Decisions...Ch. 12 - Prob. 6E Ch. 12 - Prob. 7E Ch. 12 - Prob. 8E Ch. 12 - ( $5.10 $3.80 $1.00 $4.20 $1.50 $2.40 ) EXERCISE...Ch. 12 - Prob. 10E Ch. 12 - ( $3.60 10.00 2.40 9.00 $25.00 ) EXERCISE 12-11...Ch. 12 - Prob. 12E Ch. 12 - EXERCISE 12-13 Sell or Process Further Decision...Ch. 12 - en r Ch. 12 - Prob. 15E Ch. 12 - ( $150 31 20 29 3 24 15 $272 $34 ) EXERCISE...Ch. 12 - Prob. 17E Ch. 12 - Prob. 18P Ch. 12 - PROBLEM 12-19 Dropping or Retaining a Segment...Ch. 12 - PROBLEM 12-20 Sell or Process Further Decision...Ch. 12 - Prob. 21P Ch. 12 - PROBLEM 12-22 Special Order Decisions LO12-4...Ch. 12 - PROBLEM 12-23 Make or Buy Decision LO12-3 Silven...Ch. 12 - Prob. 24P Ch. 12 - Prob. 25P Ch. 12 - Prob. 26P Ch. 12 - Prob. 27P Ch. 12 - Prob. 28P Ch. 12 - CASE 12-29 Sell or Process Further Decision LO12-7...Ch. 12 - CASE 12-30 Ethics and the Manager; Shut Dora or...Ch. 12 - CASE 12-31 Integrative Case: Relevant Costs;...Ch. 12 - CASE 12-32 Make or Buy Decisions; Volume...Ch. 12 - Prob. 33C

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