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Chem Manufacturing Company Processes Direct Materials Up to the Split-Off

Question 23

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Chem Manufacturing Company processes direct materials up to the split-off point where two products (X and Y) are obtained and sold.The following information was collected for the month of November:
Chem Manufacturing Company processes direct materials up to the split-off point where two products (X and Y) are obtained and sold.The following information was collected for the month of November: The cost of purchasing 10,200 gallons of direct materials and processing it up to the split-off point to yield a total of 9500 gallons of good products was $1,050,000. The beginning inventories totaled 35 gallons for X and 400 gallons for Y.Ending inventory amounts reflected 565 gallons of Product X and 1,515,000 gallons of Product Y.October costs per unit were the same as November. Using the physical-volume method,what is Product X's approximate gross-margin percentage? (Round all intermediary calculations two decimal places. ) A) 63% B) 56% C) 171% D) 68%
Chem Manufacturing Company processes direct materials up to the split-off point where two products (X and Y) are obtained and sold.The following information was collected for the month of November: The cost of purchasing 10,200 gallons of direct materials and processing it up to the split-off point to yield a total of 9500 gallons of good products was $1,050,000. The beginning inventories totaled 35 gallons for X and 400 gallons for Y.Ending inventory amounts reflected 565 gallons of Product X and 1,515,000 gallons of Product Y.October costs per unit were the same as November. Using the physical-volume method,what is Product X's approximate gross-margin percentage? (Round all intermediary calculations two decimal places. ) A) 63% B) 56% C) 171% D) 68%
Chem Manufacturing Company processes direct materials up to the split-off point where two products (X and Y) are obtained and sold.The following information was collected for the month of November: The cost of purchasing 10,200 gallons of direct materials and processing it up to the split-off point to yield a total of 9500 gallons of good products was $1,050,000. The beginning inventories totaled 35 gallons for X and 400 gallons for Y.Ending inventory amounts reflected 565 gallons of Product X and 1,515,000 gallons of Product Y.October costs per unit were the same as November. Using the physical-volume method,what is Product X's approximate gross-margin percentage? (Round all intermediary calculations two decimal places. ) A) 63% B) 56% C) 171% D) 68%
The cost of purchasing 10,200 gallons of direct materials and processing it up to the split-off point to yield a total of 9500 gallons of good products was $1,050,000.
The beginning inventories totaled 35 gallons for X and 400 gallons for Y.Ending inventory amounts reflected 565 gallons of Product X and 1,515,000 gallons of Product Y.October costs per unit were the same as November.
Using the physical-volume method,what is Product X's approximate gross-margin percentage? (Round all intermediary calculations two decimal places. )


A) 63%
B) 56%
C) 171%
D) 68%

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