Oregon Lumber Processes Timber into Four Products Required:
Determine the Value of Ending Inventory If the Sales

Essay

Oregon Lumber processes timber into four products.During January,the joint costs of processing were $280,000.There was no inventory at the beginning of the month.Production and sales value information for the month is as follows:
$$\begin{array} { | l | r | r | r | } \hline & & { \text { Sales Value at } } \\\hline \text { Product } & \text { Board feet } & \text { Splitoff Point } & \text { Ending Inventory } \\\hline 2 \times 4 \text { 's } & 6,000,000 & \$ 0.30 \text { per board foot } & 500,000 \mathrm { bdft } . \\\hline 2 \times 6 \text { 's } & 3,000,000 & 0.40 \text { per board foot } & 250,000 \mathrm { bdft } . \\\hline 4 \times 4 \text { 's } & 2,000,000 & 0.45 \text { per board foot } & 100,000 \mathrm { bdft } . \\\hline \text { Slabs } & 1,000,000 & 0.10 \text { per board foot } & 50,000 \mathrm { bdft } . \\\hline\end{array}$$ Required:
Determine the value of ending inventory if the sales value at splitoff method is used for product costing.Round to 3 decimal places when necessary.