Use the following information for these four questions about a joint production process for three...
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Accounting
Use the following information for these four questions about a joint production process for three products, with a total joint production cost of $100,000. There are no separable processing costs for any of the three products. Sales Value Units at Split-Off Product at Split-Off 130,000 50,000 240 960 WN 20,000 1,200 200,000 2,400 Required: Answer two of the questions below 1) What percentage of joint cost is allocated to each of the three products using the sales value at split-off method? 2) What percentage of joint cost is allocated to each of the three products using the physical units method? 3) Assume that the total sales value at the split-off point for product 1 is $50,000 instead of $130,000 and the sales value of product 3 is $2,000 instead of $20,000. Assume also that, because of its relatively low sales value, the firm treats product 3 as a by-product and uses the net realizable value method for accounting for by-products. What amount of joint cost would be allocated to the products using the sales value at split-off method? 4) Assume the same as in part 3 except that product 3 is treated as a joint product. What amount of joint costs would be allocated to the three products using the relative sales value method
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