Saskatchewan Soy Products (SSP) buys soy beans and processes them into other soy products. Each tonne...
Innerva Soy Products (MSP) buys soybeans and processes them into other soy products. Each ton of soybeans that MSP purchases for $340 can be converted for an additional $220 into 500 lbs of soy meal and 80 gallons of soy oil. A pound of soy meal can be sold at splitoff for $1.24 and soy oil can be sold in bulk for $4 per gallon. MSP can process the 500 pounds of soy meal into 550 pounds of soy cookies...
Illinois Soy Products (ISP) buys soybeans and processes them into other soy products. Each ton of soybeans that ISP purchases for $340can be converted for an additional $180into 675 poundsof soy meal and 140 gallonsof soy oil. A pound of soy meal can be sold at split off for $1.28 and can be sold in bulk for $4.75per gallon. ISP can process the 675 pounds of soy meal into 825 pounds of soy cookiesat an additional cost of $340.Each pound...
b. Now allocate the joint cost to the cookies and the Soyola using the NRV method. (Round the weights to three decimal places and joint costs to the nearest dollar.) Cookies Soyola Total Final sales value of total production Deduct separable costs Net realizable value Weighting Joint costs allocated Requirement 2. Should ISP have processed each of the products further? What effect does the allocation method have on this decision? Begin by calculating the profit or loss that would occur...
Options for 1-6: (1): process further / sell as is (2): decreases / increases (3): process further / sell as is (4): be higher if they do / be lower if they do (5): different / the same (6): is / is not 3. Interlock Soy Products (USP) buys soybeans and processes them into other soy products. Each ton of soybeans that USP purchases for $320 can be converted for an additional $200 into 675 lbs of soy meal and 120 gallons of soy oil....
Question 2 Comfy Confections Company purchases cocoa beans and processes them into cocoa butter, a powder, and shells. The standard yield from processing each 100-grams sack of cocoa beans is 20 grams of butter, 45 grams of powder, and 35 grams of shells. The powder can be sold for RM0.90 per gram and the butter for RM1.10 per gram at the split-off point. The cost of the cocoa beans up to the split-off point cost is RM54 Required 1. Compute...
SK company purchases crude vegetable oil. Refining this oil results in three products at splitoff point: C, D and E. Product C and D are intermediate products and can individually be further refined into C1 and D1. Product E is a by-product formed after further processed at an additional cost of $2,000 processing cost after the splitoff point. In addition, 30% of revenue is marketing cost on selling of product E. The joint costs of processing the crude vegetable oil...
Problem 2: The Green Company processes unprocessed goat milk up to the splitoff point where three products, condensed goat milk, skim goat milk, and cream result. The following information was collected for the month of October: Direct Materials processed: Production: 240,000 gallons (after shrinkage) 92,500 gallons 105,500 gallons 42,000 gallons $12.50 per gallon $4.50 per gallon $20 per gallon Condensed goat milk Skim goat milk Cream Sales Condensed goat milk Skim goat milk Cream The costs of purchasing the of...
The Bean Company provides fresh coffee beans for restaurants, hotels, and other food service companies. Bean offers three types of coffee beans: Premium, Gourmet, and Quality. Each of the three coffees is produced in a joint process in which beans are cleaned and sorted. The sorting process is the split-off point in this joint process, and the output is the three types of beans. The beans can be sold at the split-off point or processed further, with different types of...
The Bean Company provides fresh coffee beans for restaurants, hotels, and other foodservice companies. Bean offers three types of coffee beans: Premium, Gourmet, and Quality. Each of the three coffees is produced in a joint process in which beans are cleaned and sorted. The sorting process is the split-off point in this joint process, and the output is the three types of beans. The beans can be sold at the split-off point or processed further, with different types of roasting...
Master Company processes a ra Magna can be sold for $50 a batch of Magna and Delta processes a raw material that produces two joint products - Magna and Delta. At split-off cold for $5.00 per pound and Delta can be sold for $7.00 per pound. It costs 590 to produce pa and Delta. Each batch contains 14 pounds of Magna and 6 pounds of Delta Required a) Allocate the joint cost of pre the joint cost of producing Magna...