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Answer the Following Questions Using the Information Below:
Netzone Company  Direct materials processed: 200kgs (Both standard and premium chips weigh 10 grams each) \text { Direct materials processed: } 200 \mathrm{kgs} \text { (Both standard and premium chips weigh } 10 \text { grams each) }

question 78

Multiple Choice

Answer the following questions using the information below:
Netzone Company is in semiconductor industry and fabrication of silicon-wafer chips splits off two types of memory chips, Standard and Premium. The following information was collected for last quarter of the calendar year:
 Direct materials processed: 200kgs (Both standard and premium chips weigh 10 grams each)  \text { Direct materials processed: } 200 \mathrm{kgs} \text { (Both standard and premium chips weigh } 10 \text { grams each) }
 Production:  Standard 10,000 chips  Premium 6,500 chips  Sales:  Standard 9,500 at $100 per chip  Premium 6,000 at $170 per chip \begin{array}{lll}\text { Production: } & \text { Standard } & 10,000 \text { chips } \\& \text { Premium } & 6,500 \text { chips } \\\text { Sales: } & \text { Standard } & 9,500 \text { at } \$ 100 \text { per chip } \\& \text { Premium } & 6,000 \text { at } \$ 170 \text { per chip }\end{array} The cost of purchasing 200 kgs of direct materials and processing it up to the splitoff point to yield a total of 16,500 chips of good products was $1,950,000.
Beginning inventories totalled 100 chips for Standard and 50 chips for Premium. Ending inventory amounts reflected 100 chips of Standard and 50 chips of Premium. October costs per unit were the same as November.
-What are the physical-volume proportions for products Standard and Premium,respectively?


Definitions:

Intermediaries Shipping

Third-party entities in the supply chain that specialize in the logistics and transportation of goods from manufacturers to consumers or retailers.

Time Utility

The increase in a product's value resulting from its availability at the most appropriate or desired time.

Place Utility

The value added to products by making them available at a location convenient to consumers.

Channel Intermediaries

Businesses or individuals that act as intermediaries in the distribution process, facilitating the movement of goods from producers to consumers.

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