West Coast Designs Produces Three Products Super Deluxe And Generic Super And Deluxe Are Its Main Products Generic 1 (39.81 KiB) Viewed 31 times
West Coast Designs Produces Three Products Super Deluxe And Generic Super And Deluxe Are Its Main Products Generic 2 (40.31 KiB) Viewed 31 times
West Coast Designs produces three products: super, deluxe, and generic. Super and deluxe are its main products: generic is a by product of super. Information on the past month's production processes follows: . In Department A, 330,000 units of the raw material X1 are processed at a total cost of $783.000. After processing in Department A 60 percent of the units are transferred to Department B, and 40 percent of the units (now unprocessed deluxe) are transferred to Department • In Department B. the materials received from Department A are processed at an additional cost of $228,000. Seventy percent of the units become super and are transferred to Department D. The remaining 30 percent emerge as generic and are sold at $4.20 per unit. The additional processing costs to make generic salable ore $48,600. • In Department C. deluxe is processed at an additional cost of $990,000. A normal loss of 10 percent of the units of good output of deluxe occurs in this department. The remaining good output is then sold for $24 per unit. . In Department D. super is processed at an additional cost of $98,880. After this processing. super can be sold for $10 per unit. Required: Prepare a schedule showing the allocation of the $783,000 joint cost to super and deluxe using the estimated net realizable value opproach. Revenue from the sale of by-products should be credited to the manufacturing costs of the related main product.
Required: Prepare a schedule showing the allocation of the $783,000 joint cost to super and deluxe using the estimate approach. Revenue from the sale of by-products should be credited to the manufacturing costs of the relate- Complete this question by entering your answers in the tabs below. Schedule Cost Allocation Determine the cost allocation for each product. (Do not round intermediate calculations.) Cost Allocation Super Deluxe < Schedule
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