A Lumber Mill Paid $70,000 for Logs That Produced 200,000

question 210

Multiple Choice

A lumber mill paid $70,000 for logs that produced 200,000 board feet of lumber in 3 different grades and amounts as follows: Compute the portion of the $70,000 joint cost to be allocated to No. 2 Common if the value basis is used.

• A) $0.
• B) $17,500.
• C) $23,333.
• D) $35,000.
• E) $70,000.

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Definitions:

Brown Algae

A group of photosynthetic, multicellular marine algae, typically found in cooler waters, distinguished by their brown color due to fucoxanthin pigment.

Excavates

A group of protists characterized by their unique cellular structures, including a notable feeding groove "excavated" from one side.

Closest Relatives

Organisms that are most closely related to each other through shared ancestry in the tree of life.