Breakfasttime Cereal Company manufactures two breakfast cereals in a joint process. Cost and quantity information...
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Breakfasttime Cereal Company manufactures two breakfast cereals in a joint process. Cost and quantity information is as follows: Sales Price per Kilogram $6.20 7.70 Quantity at Joint Cost Cereal Split-Off Point Yummies 12,200 kilograms Crummies8,20 kilograms $92,000 Breakfasttime Cereal Company has an opportunity to process its Crummies further into a mulch for ornamental shrubs The additional processing operation costs $1.70 per kilogram, and the mulch will sell for $11.50 per kilogram. 2. Suppose the company does process Crummies into the mulch. Use the net-realizable-value method to allocate the joint production cost between the mulch and the Yummies. (Round intermediate calculations of "Relative Proportions" to 3 decimal places and final answers to the nearest dollar amount.) Allocation of Joint Cost Yummies Mulch
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