Saturday, June 2, 2012

The Arvid Corporation manufactures widgets, gizmos, and turnbols from a joint process

ACCOUNTING

Multiple Choice

The Arvid Corporation manufactures widgets, gizmos, and turnbols from a joint process. May production is 4,000 widgets; 7,000 gizmos; and 8,000 turnbols. Respective per unit selling prices at splitoff are $15, $10, and $5. Joint costs up to the splitoff point are $75,000. If joint costs are allocated based upon the sales value at splitoff, what amount of joint costs will be allocated to the widgets?

a. $30,882

b. $26,471

c. $17,647

d. $28,125

Click here for the SOLUTION

No comments:

Post a Comment