- The Following Questions Relate To Kyle Company Which Manufactures Products Ka Kb And Kc From A Joint Process Joint P 1 (46.21 KiB) Viewed 36 times
The following questions relate to Kyle Company, which manufactures products KA, KB, and KC from a joint process. Joint product costs were $181,000. Additional information follows. If Processed Further Product KA KB KC Units Produced 74,000 78,000 42,000 Sales Value at Split-Off $420,000 390,000 330,000 Sales Values $510,000 450,000 420,000 Additional Costs $72,000 60,000 48,000 After the publication of recent scientific test results, the government has banned the sale of product KC. IF KC is produced, it must be disposed of in an approved way that costs $259,800 for every 42,000 units produced. Required: a. Assuming that Kyle Company continues to use the physical quantities method of allocation, what joint costs will be allocated to KA and to KB, respectively? b. Which, if either, product would you recommend Kyle Company sell at split-off? Complete this question by entering your answers in the tabs below. Required A Required B Assuming that Kyle Company continues to use the physical quantities method of allocation, what joint costs will be allocated to KA and to KB, respectively? (Do not round intermediate calculations.) Product Joint costs KA KB