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The following data relate to three joint products:
A B C
Sales Value Rs.24,000 Rs.18,000 Rs.15,000
Selling Costs Rs.3,500 Rs.4,500 Rs.1,000
Weight (Kgs) 180 240 150
Required:
Joint costs Rs.35,000. Determine the profit made by every product apportioning joint costs on:
a. The sales value basis.
b. The physical basis.
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Methods Required To Allocate Joint Costs 1) Physical/Unit Measure 2) Constant gross margin rate 3) Net realizable value.
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