Solved

Johnson Company Ellis Company Produces Two Products from a Joint

Question 98

Multiple Choice

Johnson Company Ellis Company produces two products from a joint process: A and C. Joint processing costs for this production cycle are $9,000.
Johnson Company Ellis Company produces two products from a joint process: A and C. Joint processing costs for this production cycle are $9,000.   If A and C are processed further, no disposal costs will be incurred or such costs will be borne by the buyer. Refer to Johnson Company. Using approximated net realizable value at split-off, what amount of joint processing cost is allocated to Product C (round to the nearest dollar) ? A)  $4,500 B)  $5,986 C)  $6,062 D)  $6,282 If A and C are processed further, no disposal costs will be incurred or such costs will be borne by the buyer.
Refer to Johnson Company. Using approximated net realizable value at split-off, what amount of joint processing cost is allocated to Product C (round to the nearest dollar) ?


A) $4,500
B) $5,986
C) $6,062
D) $6,282

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions