ACCOUNTING
Zenon Chemical, Inc. processes pine rosin into three products: turpentine, paint thinner, and spot remover. During May, the joint costs of processing were $240,000. Production and sales value information for the month is as follows:
Product
Units Produced
Sales Value at Splitoff Point
Turpentine
6,000 liters
$60,000
Paint thinner
6,000 liters
50,000
Spot remover
3,000 liters
25,000
Determine the amount of joint cost allocated to each product if the physical-measure method is used.
Click here for the SOLUTION
