Maurice Tutor

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Category > Accounting Posted 19 Aug 2017 My Price 4.00

Cal-C-Yum produces milk

13.    LO.3 (Sales value and physical value allocation) Cal-C-Yum produces milk and sour cream from a joint process. During June, the company produced 120,000 quarts of milk and 160,000 pints of sour cream (there are two pints in a quart). Sales value at split-off point was $120,000 for the milk and $280,000 for the sour cream. The milk was assigned $45,000 of the joint cost.

a.     Using the sales value at split-off approach, determine the total joint cost for June.

b.    Assume, instead, that the joint cost was allocated based on the number of quarts produced. What was the total joint cost incurred in June?

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Maurice Tutor
(5)
Status NEW Posted 19 Aug 2017 12:08 AM My Price 4.00

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