Poodle Company Manufactures Three Products from a Joint Process Assuming the Physical- Units Method of Allocating Joint Costs, the Costs

question 93

Multiple Choice

Poodle Company manufactures three products from a joint process. Joint costs for the year amounted to $250,000. The following data are also available: $\begin{array}{lll}&&\text{Sales Value at }\\\text { Product }&\text { Units Produced }&\text { Split-off }\\\hline X & 5,000 & \$ 70,000 \\Y & 3,000 & \$ 30,000 \\Z & 2,000 & \$ 100,000\end{array}$ Assuming the physical- units method of allocating joint costs, the amount of joint costs allocated to product Y would be:

• A) $75,000
• B) $37,500
• C) $250,000
• D) $30,000