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Use the Information Below to Answer the Following Question(s)

question 63

Multiple Choice

Use the information below to answer the following question(s) .Raynor Manufacturing purchases trees from Tree Nursery and processes them up to the splitoff point, where two products (paper and pencil casings) are obtained.The products are then sold to an independent company that markets and distributes them to retail outlets.The following information was collected for the month of October.Trees processed:
50 trees (yield is 30,000 sheets of paper and 30,000 pencil casings and no scrap)
Cost of purchasing 50 trees and processing them up to the splitoff point to yield 30,000 sheets of paper and 30,000 pencil casings is $1,500.Raynor Manufacturing's accounting department reported no beginning inventories; however, ending inventory amounts reflected 1,000 sheets of paper in stock.
-Which method allocates joint costs on the basis of each product's relative sales value at the splitoff point?

Definitions:

Moral Development

The process through which individuals develop appropriate attitudes and behaviors toward other people in society, based on social and cultural norms, laws, and personal beliefs.

Teratogens

Agents that can cause congenital abnormalities or birth defects in a developing embryo or fetus when exposed during pregnancy.

Turner Syndrome

A genetic disorder affecting females, characterized by the complete or partial absence of one of the X chromosomes, leading to developmental abnormalities and infertility.

Sense-Pleasure

Enjoyment or satisfaction derived from sensory experiences, such as tastes, smells, and tactile sensations.