Tanner Corporation Produced 3,660 Units, Consisting of Three Separate Products

question 59

Multiple Choice

Tanner Corporation produced 3,660 units, consisting of three separate products, in a joint process for the year. The market for these products was so unstable that it was not practical to estimate the selling price of the products. A cost of $425,000 was incurred in the joint process. Product X's production was 80% of product Y's while product Z's production was 125% of product Y's. What is the amount of the joint cost allocable to product X (rounded to the nearest whole dollar) assuming Tanner uses the physical quantities method of allocation?

• A) $111,475.
• B) $114,865.
• C) $139,344.
• D) $141,667.

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Definitions:

Personalized Power Motive

The drive to influence and control others for one’s own personal gain or satisfaction.

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A tendency to see the worst aspect of things or believe that the worst will happen; a lack of hope or confidence in the future.

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The capacity to regulate one's emotions, thoughts, and behaviors in different situations to achieve personal and professional goals.