Problem 2: Joint Cost AllocationJean Company produces four products, which have a manufacturing cost ofP672,000 at the split-off point. Data pertaining to these products follow:WeightFactorsSales Value atUnitsProducedSplit-off per unit36.00Product9.20,00032,00036,00024,000А16.510.5018.001516.5018Required: Allocate the total joint cost, using:1. Average unit cost method or Physical output method2. Market Value method or relative sales value method3. Weighted Average MethodBCD

Manufacturing cost is the aggregate amount of cost incurred by a business to produce goods in a…

Jean Company produces four products, which have a manufacturing cost of P672,000 at the split-off point. Data pertaining to these products follow: Sales Value at Units Weight Produced 20,000 32,000 36,000 24,000 Split-off per unit 36.00 Factors Product 9. A B 10.50 16.5 18.00 15 D 16.50 18 Required: Allocate the total joint cost, using: 1. Average unit cost method or Physical output method 2. Market Value method or relative sales value method 3. Weighted Average Method

Jean Company produces four products, which have a manufacturing cost of P672,000 at the split-off point. Data pertaining to these products follow: Sales Value at Units Weight Produced 20,000 32,000 36,000 24,000 Split-off per unit 36.00 Factors Product 9. A B 10.50 16.5 18.00 15 D 16.50 18 Required: Allocate the total joint cost, using: 1. Average unit cost method or Physical output method 2. Market Value method or relative sales value method 3. Weighted Average Method

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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Problem 2: Joint Cost Allocation Jean Company produces four products, which have a manufacturing cost of P672,000 at the split-off point. Data pertaining to these products follow: Weight Factors Sales Value at Units Split-off per unit 36.00 Product Produced 20,000 32,000 36,000 24,000 A 9. B 10.50 16.5 C 18.00 15 D 16.50 18 Required: Allocate the total joint cost, using: 1. Average unit cost method or Physical output method 2. Market Value method or relative sales value method 3. Weighted Average Method
Problem 2: Joint Cost Allocation Jean Company produces four products, which have a manufacturing cost of P672,000 at the split-off point. Data pertaining to these products follow: Sales Value at Units Weight Factors Product Split-off per unit 36.00 Produced A 20,000 32,000 36,000 24,000 9. 10.50 16.5 18.00 15 18 16.50 Required: Allocate the total joint cost, using: 1. Average unit cost method or Physical output method 2. Market Value method or relative sales value method 3. Weighted Average Method
Problem 1 The company produces four joint products, which have a manufacturing cost of P434,000 at split off point. Data pertaining to these products are as follows: Product Market Value at Split off Units Produced A 20,000 32,000 36,000 24,000 B C D P4.00 1.75 3.00 2.75 Required: Allocate the joint cost using (a) Market value method (b) Average unit cost method
Problem 8: Compute for the total cost of producing product Y if joint costs are allocated based on the number of units produced. SAMCIS Company produces three products (X, Y, and Z) in a joint process costing P100,000 The products can be sold as they leave the process, or they can be processed further and sold The cost accountant has provided you with the following information: Sales Price Separable Further Sales Price After Further Processing Product Unit Volume at Split-Off Processing Costs 3,000 4,000 8,000 Assume that all processing costs are variable costs. P10 P60,000 50,000 P25 Y. 15 30 20 90,000 35
Calcion Industries produces two joint products, Y and Z. Prior to the split-off point, the company Incurred costs of $36,000. Product Y weighs 15 pounds and product Z weighs 85 pounds. Product Y sells for $150 per pound and product Z sells for $125 per pound. B on a physical measure of output, allocate joint costs to products Y and Z. Product Y allocation $ Product Z allocation $ D
Problem 7: How much joint cost is allocated to Product X if joint cost is allocated using the market value method? * SAMCIS Company produces three products (X, Y, and Z) in a joint process costing P100,000. The products can be sold as they leave the process, or they can be processed further and sold. The cost accountant has provided you with the following information: Sales Price After Further Processing Separable Further Processing Costs P60,000 50,000 Sales Price Product Unit Volume at Split-Off P25 30 35\ P10 3,000 4,000 8,000 Y. 15 20 90,000 Assume that all processing costs are variable costs
Exercise 8-3. JOINT COST ALLOCATION - HYPOTHETICAL MARKET VALUE METHOD JC Company manufactures three different products from a single raw material. A summary of production costs shows: Product Product Product Total B A Y Output in kgs 80,000 200,000 160,000 440,000 Selling price/ kg P0.75 P1.00 P1.50 Costs: Product Product Product Total B A Y Cost Materials -0- -0- -0- P90,000 Direct Labor…
Exercise 1-11 (Algo) Cost Behavior; Contribution Format Income Statement [LO1-4, LO1-6] Harris Company manufactures and sells a single product. A partially completed schedule of the company's total costs and costs per unit over the relevant range of 70,000 to 110,000 units is given below: ces Required: 1. Complete the schedule of the company's total costs and costs per unit as given in the relevant tab below. 2. Assume that the company produces and sells 100,000 units during the year at a selling price of $8.80 per unit. Prepare a contribution format income statement for the year. Mc Graw Hill showers Complete this question by entering your answers in the tabs below. Required 1 Required 2 Complete the schedule of the company's total costs and costs per unit as given in the relevant tab below. (Round the per unit variable cost and fixed cost to 2 decimal places.) Total cost: Variable cost Fixed cost Total cost Cost per unit: Variable cost Fixed cost Total cost per unit 70,000 Units…
Exercise 1-11 (Algo) Cost Behavior; Contribution Format Income Statement [LO1-4, LO1-6] Harris Company manufactures and sells a single product. A partially completed schedule of the company's total costs and costs per unit over the relevant range of 55,000 to 95,000 units is given below: Required: 1. Complete the schedule of the company's total costs and costs per unit as given in the relevant tab below. 2. Assume that the company produces and sells 85,000 units during the year at a selling price of $8.90 per unit. Prepare a contribution format income statement for the year. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Complete the schedule of the company's total costs and costs per unit as given in the relevant tab below. (Round the per unit variable cost and fixed cost to 2 decimal places.) Total cost: Variable cost Fixed cost Total cost Cost per unit: Variable cost Fixed cost Total cost per unit $ $ 55,000 Units Produced and Sold 75,000…
Benoit Company produces three products-A, B, and C, Data concerning the three products follow (per unit): Product B $ 66.00 Selling price Variable expenses: Direct materials Other variable expenses Total variable expenses Contribution margin Contribution margin ratio A $ 92.00 27.60 27.60 55.20 $36.80 40% 18.00 31.50 49.50 $16.50 25% C $ 82.00 12.00 45.40 57.40 $ 24.60 30% The company estimates that it can sell 950 units of each product per month. The same raw material is used in each product. The material costs $3 per pound with a maximum of 6,100 pounds available each month. Required: 1. Calculate the contribution margin per pound of the constraining resource for each product. 2. Which orders would you advise the company to accept first, those for A, B, or C? Which orders second? Third? 3. What is the maximum contribution margin that the company can earn per month if it makes optimal use of its 6,100 pounds of materials?
Exercise 1-11 (Algo) Cost Behavior; Contribution Format Income Statement [LO1-4, LO1-6] Harris Company manufactures and sells a single product. A partially completed schedule of the company's total costs and costs per unit over the relevant range of 53,000 to 93,000 units is given below: Required: 1. Complete the schedule of the company's total costs and costs per unit as given in the relevant tab below. 2. Assume that the company produces and sells 83,000 units during the year at a selling price of $9.86 per unit. Prepare a contribution format income statement for the year. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Complete the schedule of the company's total costs and costs per unit as given in the relevant tab below. (Round the per unit variable cost and fixed cost to 2 decimal places.) 53,000 Units Produced and Sold 73,000 Units Produced and Sold 93,000 Units Produced and Sold Total cost: Variable cost $ 143,100 Fixed cost 450,000…
MIX Inc. is conducting a joint process which results to three products. The following production data were provided by MIX Inc. for the current period:Product Name Units Produced Selling price per unit at split off pointAce 10,000 P40Bat 15,000 P20Can 25,000 P12Additional data for the period were provided:All the ace items were sold for a gross profit of P100,000.The joint costs were allocated using physical method.Requirement:1. What is the gross profit/(loss) if all the Bat items are sold in current year?2. Assuming the joint costs are fixed, what is the joint cost allocated to can items using the relative sales value method?