Black Corporation processes xyrex into three outputs: Xy-1, Xy-2, and Xy-3. Xy-1
ID: 2461385 • Letter: B
Question
Black Corporation processes xyrex into three outputs: Xy-1, Xy-2, and Xy-3. Xy-1 accounts for 59 percent of the net realizable value at the split-off point, Xy-2 accounts for 31 percent, and Xy-3 accounts for the balance. The joint costs total $215,000. If Xy-3 is accounted for as a by-product, its $19,000 net realizable value at split-off is credited to the joint manufacturing costs using method 1 described in the text, which credits the by-product's net realizable value as a reduction in the joint costs.
If Xy-3 is accounted for as a joint product?
If Xy-3 is accounted for as a by-product? (Do not round intermediate calculations. Round your answers to the nearest dollar amount.)
Black Corporation processes xyrex into three outputs: Xy-1, Xy-2, and Xy-3. Xy-1 accounts for 59 percent of the net realizable value at the split-off point, Xy-2 accounts for 31 percent, and Xy-3 accounts for the balance. The joint costs total $215,000. If Xy-3 is accounted for as a by-product, its $19,000 net realizable value at split-off is credited to the joint manufacturing costs using method 1 described in the text, which credits the by-product's net realizable value as a reduction in the joint costs.
Explanation / Answer
1) Xy-1 $ 126,850 215000*59% Xy-2 $ 66,650 215000*31% Xy-3 $ 21,500 215000*10% 2) Xy-1 $ 128,489 (215000-19000)*59/(59+31) Xy-2 $ 67,511 (215000-19000)*31/(59+31) Xy-3 $ - $ -
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.