Amos, SA, Manufactures Products a and B from a Joint Process

question 44

Multiple Choice

Amos, SA., manufactures products A and B from a joint process. Joint product costs were £40,000 during the month of October. Additional information is as follows: $\begin{array}{lrr}&\text { Sales Value at }\\\text { Product }&\text { Units Produced }&\text { Split-Off}\\\text { A } & 14,000 & £ 110,000 \\\text { B } & 6,000 & £ 90,000\end{array}$ Amos uses the physical units method of joint cost allocation. What is the amount of joint product costs to be allocated to products A and B in October, respectively?

• A)£20,000; £20,000
• B)£22,000; £18,000
• C)£28,000; £12,000
• D)£12,000; £28,000

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