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

question 168

Multiple Choice

Use the information below to answer the following question(s) .Cranbrook Chemical Ltd.manufactures two industrial compounds.In the month of May, 15,000 litres of direct material costing $160,000 were processed at a cost of $400,000.The joint process yielded 16,000 containers of a compound known as Jarlon and 4,000 containers of a compound known as Kharton.The respective selling prices of Jarlon and Kharton are $38 and $58.Both products may be processed further.Jarlon may be processed into Jaxton at an incremental cost of $8 per jar of the final product while Kharton may be processed into Kraxton at an additional cost of $32 per jar of the final product.The volume of jars of the final product are: 12,000 and 3,000 for Jaxton and Kraxton respectively.The selling price of Jaxton is $48 per jar.The selling price of Kraxton is $102 per jar.
-Assuming Cranbrook uses the physical measures method and 2,000 containers of Jarlon and 75 containers of Kharton are unsold at the end of the period, Cranbrook would report cost of goods sold of

• A)$58,100.
• B)$506,400.
• C)$358,500.
• D)$143,400.
• E)$501,900.

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Definitions:

Frozen Orange Juice

A form of orange juice that has been frozen to preserve it for longer periods, often sold as concentrate.

Graphically

Representing information or data in a visual format using charts, graphs, maps, or diagrams.

Set of Equations

A collection of equations designed to be solved together, where each equation relates different variables or constants to one another.

Accurate

The quality of being correct or precise, often used in the context of numerical or factual information.