Iacollia Company makes two products from a common input. Joint processing costs

Question

Iacollia Company makes two products from a common input. Joint processing costs up to the split-off point total $47,600 a year. The company allocates these costs to the joint products on the basis of their total sales values at the split-off point. Each product may be sold at the split-off point or processed further. Data concerning these products appear below: Product X Product Y Total Allocated joint processing costs $ 23,800 $ 23,800 $ 47,600 Sales value at split-off point $ 33,400 $ 33,400 $ 66,800 Costs of further processing $ 21,400 $ 20,900 $ 42,300 Sales value after further processing $ 53,200 $ 60,900 $ 114,100

Explanation / Answer

$ 53,200

Related Questions

Navigate

• Browse (All)
• Browse I
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.