Allocation of joint costs, Cost Accounting

Allocation of Joint Costs

Whereas two or more products of relatively high value emerge simultaneously from a single process, they are named as joint products.  The processes such provide rise to these products is named as a joint process and the costs included are referred to as joint product costs.  Joint products are not separately identifiable like individual products till their split off point. Split-off point is the point at that joint products become separate entities or are individually identifiable. Allocations of joint costs contain assigning the costs of the joint process to the products emerging at the split off point. Any type of costs beyond the split off point is referred to as separable costs.

Posted Date: 2/7/2013 2:59:09 AM | Location : United States







Related Discussions:- Allocation of joint costs, Assignment Help, Ask Question on Allocation of joint costs, Get Answer, Expert's Help, Allocation of joint costs Discussions

Write discussion on Allocation of joint costs
Your posts are moderated
Related Questions
Example of LIFO, FIFO and Weighted Average Method Suppose the following purchases were made in ABC Ltd as like: Date of purchase     Units purchased              Price/uni

Accrued liabilities show expenses or obligations incurred in the earlier accounting period but the payment for similar will be made in the subsequent period. In several cases where


1. A company is considering a project that requires an initial investment of $100 million and will pay $20 million of each of the next 10 years, and nothing thereafter. The company

On July 1, 2008, Falk Company signed a contract to lease space in a building for 15 years. The lease contract calls for annual (prepaid) rental payments of $100,000 on each July 1

what are the legal distinctions between a business combination, a merger, and a consolidation.


A company is considering the following alternatives: Alternative 1 Alternative 2 Revenues $240,000 240,000 Variable costs 120,000 140,000 Fixed costs 70,000 70,000 Which of the fol

Which of the four types of costs would include Direct Labor? A. Unit-Level B. Batch-Level C. Product Sustaining D. None of the above