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Author Question: The Brital Company processes unprocessed milk to produce two products, Butter Cream and Condensed ... (Read 64 times)

asmith134

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The Brital Company processes unprocessed milk to produce two products, Butter Cream and Condensed Milk. The following information was collected for the month of June:
Direct Materials processed:31,000 gallons
Production:Butter Cream13,000gallons
Condensed Milk18,000gallons
Sales:Butter Cream12,500gallons
Condensed Milk17,500gallons
Sales:Butter Cream$3.50per gallon
Condensed Milk$9.50per gallon
Separable costs in total:Butter Cream$14,500
Condensed Milk$33,900

The costs of purchasing the of unprocessed milk and processing it up to the split-off point to yield a total of 31,000 gallons of saleable product was $146,450. 

The company uses constant gross-margin percentage NRV method to allocate the joint costs of production.  What is the allocated joint costs of Condensed Milk?
◦ $120,000
◦ $14,500
◦ $33,900
◦ $26,450


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Marked as best answer by asmith134 on Mar 6, 2021

wfdfwc23

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asmith134

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Reply 2 on: Mar 6, 2021
Excellent


bigsis44

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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