Joint Products a and B Emerge from Common Processing That

question 16

Multiple Choice

Joint products A and B emerge from common processing that costs $200,000 and yields 2,000 units of Product A and 1,000 units of Product B Product A can be sold for $100 per unit. Product B can be sold for $120 per unit. How much of the joint cost will be assigned to Product A if joint costs are allocated on the basis of relative sales values? (Do not round your intermediate calculations.)

• A)$75,000
• B)$125,000
• C)$100,000
• D)$133,333

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