50.1K

Verified Solution

Link Copied!

Pirate Seafood Company purchases lobsters and processes them into tails and flakes. It sells the lobster tails for $20.70 per pound and the flakes for $16.00 per pound. On average, 100 pounds of lobster are processed into 61 pounds of tails and 28 pounds of flakes, with 11 pounds of waste. Assume that the company purchased 3.400 pounds of lobster for $4 per pound and processed the lobsters with an additional labor cost of $7,800. No materials or labor costs are assigned to the waste. If 1930 pounds of tails and 881 pounds of flakes are sold, calculate the allocated cost of the sold items and the allocated cost of the ending inventory. The company allocates joint costs on a value basis. (Round your answers to nearest whole number. Round cost per pound answers to 2 decimal places.) Yield per 3,400 15. purchase Market Value per 3.400 lb. purchase Percent of Market Value Cost to be allocated Allocated cost cost per 3.400 pound pound purchase Denominator of Mt Value Numerator Lobster Tails13600 Lobster Flakes Totals 1) What is the allocated cost of the sold items? Cost par Cost of Pounds sold pound Goods Sold Lobster Tails Lobster Flakes Totals 2) What is the allocated cost of the ending inventory? Pounds in Cost of Cost per ending Ending pound Inventory Inventory Lobutor Tils Lobster Flakes Totals

Answer & Explanation Solved by verified expert

See Answer