ACCT 344 DeVry Week 5 Complete Work
ACCT 344 DeVry Week 5 Homework
1. Question: Bubble Corporation manufactures two products, I and II, from a joint process. A single production costs $4,000 and results in 100 units of I and 400 units of II. To be ready for sale, both products must be processed further, incurring separable costs of $1 per unit for I and $2 per unit for II. The market price for Product I is $20 and for Product II is $15.
- Allocate joint production costs to each product using the physical units method.
- Allocate joint production costs to each product using the net realizable value method.
- Allocate joint production costs to each product using the constant gross margin percentage method.
2. Question: Mike’s Meats incurs costs of $4,000 while processing raw chicken meat into three products: breasts, wings, and thighs. The meat is then sold to local grocery stores based on the following……………..
Required: (Calculate relative quantity to three decimal points.)
- Determine the cost and gross profit percentage for each type of chicken using the physical units method of joint cost allocation.
- Repeat part (a) using the sales-value-at-split-off method of joint cost allocation.
- The company has an opportunity to sell wings to local restaurants for $1.00 per pound but additional packaging is required, which will cost $300 per 1,000 lb. Assuming the physical unit method is used to allocate joint costs, should the offer be accepted?
ACCT 344 DeVry Week 5 Quiz
1. Question: (TCO 7) A common cost occurs
2. Question: (TCO 7) Which would be the most appropriate base for allocating the costs of the housekeeping department?
3. Question: (TCO 7) The Ruling Company assigns plant administration costs to the production departments based on the number of employees. Which would NOT be a good combination of common costs with an activity driver?
4. Question: (TCO 7) Joint costs are allocated because of
5. Question: (TCO 7) Which method allocates support department costs?
6. Question: (TCO 7) Joint costs are
7. Question: (TCO 7) Which method allocates joint production costs based on the pounds of product produced?
8. Question: (TCO 7) DeeDee Corporation manufactures the following products in its factory. $400,000 of costs were incurred…………How much joint cost would be allocated to Product A based on the physical units method?
9. Question: (TCO 7) Sally Corporation manufactures four products. The following data were provided by the cost accountant for the current year……….
10. Question: (TCO 7) Lamb Inc. processes wool into four grades of yarn as follows…….Which is the amount of joint costs assigned to Superwash Wool using the constant gross margin percentage method?