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Category > Accounting Posted 22 May 2017 My Price 5.00

Essay type Questions. 

Essay type Questions. 

 

Q5. Pepsi Beverages processes soft drinks and bottles it as Marinda, Seven up and Coke. During the year, the joint costs of processing the coffee were $450,000.  There were no beginning or ending inventories. Production and sales value information were as follows:

Sales Value

Product

Cases

At Split-Off

Separable Costs

Selling Price

Marinda

200,000

$9 per case

$5.00 per case

$32 per case

Seven up

300,000

$8 per case

$3.00 per case

$30 per case

Coke

500,000

$7 per case

$2.00 per case

$20 per case

 

 

a.      Allocate the joint costs using the physical output method.

b.     Allocate the joint costs using sales value at split-off point method.

 

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SuperTutor
(15)
Status NEW Posted 22 May 2017 06:05 AM My Price 5.00

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