Reference no: EM131915479

Question - The following questions are based on Costner Company, which manufactures products X, Y, and Z from a joint process. Joint-process costs were $80,000. Additional information is provided:

If Processed Further

Product Units Produced Sales value at Split Off Sales Value Additional Costs

X 12,000 $80,000 $110,000 $18,000

Y 10,000 70,000 90,000 14,000

Z 8,000 50,000 60,000 12,000

Required:

a. Assuming that joint-product costs are allocated using the physical-measures (units produced) method, what were the total costs of product X (including $18,000 if processed further)?

b. Assuming that joint -product costs are allocated using the net realizable value method, what were the total costs of product Y (including the $14,000 if processed further)?