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Atkinson, Inc \quad \quad \quad \quad \quad

question 106

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Atkinson, Inc., manufactures products A, B, and C from a common process. Joint costs were $60,000. Additional information is as follows:
\quad \quad \quad \quad \quad \quad \quad \quad \quad \quad \quad \quad  If Processed Further \text { If Processed Further }
 Units  Sales Value at Split-  Additional  Product  Produced  Off  Sales Value  Costs  A 6,00040,00055,000$4,000 B 4,00035,00045,0006,000 C 2,00025.00030.0008,00012,000$100,000$130,000$18,000\begin{array}{cr}&\text { Units } & \text { Sales Value at Split- } & &\text { Additional }\\\text { Product } & \text { Produced } & \text { Off } & \text { Sales Value } & \text { Costs } \\\text { A } & 6,000 &40,000 & 55,000 & \$ 4,000 \\\text { B } & 4,000 &35,000& 45,000 & 6,000\\\text { C } & 2,000 &25.000 & 30.000 &8,000\\& 12,000&\$ 100,000&\$ 130,000&\$ 18,000\end{array}
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Assuming that joint production costs are allocated using the physical quantities method (units produced) , what were the costs allocated to Product A?

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