Figure 6-6
Suppose That a Sawmill Processes Logs into Four

question 22

Multiple Choice

Figure 6-6
Suppose that a sawmill processes logs into four grades of lumber totaling 500,000 board feet as follows at a joint cost of £300,000: $$\begin{array} { l c c } \text { Grade } & \text { Board Feet } & \text { Final Sales Value } \\\text { First and second } & 75,000 & £ 56,250 \\\text { No. } 1 \text { common } & 200,000 & 180,000 \\\text { No. } 2 \text { common } & 100,000 & 105,000 \\\text { No. } 3 \text { common } & 125,000 & 127,500\end{array}$$
-Refer to Figure 6-6. What is the gross profit of No. 3 common if the constant gross margin percentage method is used?

• A)£45,900
• B)£168,750
• C)£81,600
• D)£135,000

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Definitions:

Alternative Therapies

Therapeutic practices and treatments that are used instead of, or alongside, conventional medical treatments.

New Social Movement

A term used to describe the waves of collective action and activism that emerged since the 1960s, focusing on issues like environmentalism, feminism, and human rights.

Terminal Illnesses

Diseases or conditions that are incurable and irreversible and that are expected to lead to the death of the patient within a short period of time.

Percentage

A mathematical concept representing a fraction of 100, used to indicate proportions or shares in relation to the whole.