Solved

Baker Company Baker Company Produces Three Products: A,B,and C from the Same

Question 113

Multiple Choice

Baker Company
Baker Company produces three products: A,B,and C from the same process.Joint costs for this production run are $2,100.

    Pounds   Sales price per lb. at split-off Disposal cost per lb. at split-off     Further processing per pound   Final sales price per pound
 A   800  $6.50  $3.00  $2.00  $ 7.50
 B  1,100   8.25   4.20   3.00  10.00
 C  1,500   8.00   4.00   3.50  10.50

If the products are processed further,Baker Company will incur the following disposal costs upon sale: A,$3.00;B,$2.00;and C,$1.00.
Refer to Baker Company.Using a physical measurement method,what amount of joint processing cost is allocated to Product A (round to the nearest dollar) ?


A) $700
B) $679
C) $927
D) $494

Correct Answer:

verifed

Verified

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

Related Questions