Cisco Company manufactures three products, A, B & C. These three products are created through a joint process that costs $26,000. The following data is provided for the three products: What is the amount of joint costs assigned to Product B using the sales-value-at-split-off method? (Round the nearest whole dollar)
A)$2,019.
B)$10,833.
C)$12,381.
D)$24,762.

Question

Cisco Company manufactures three products, A, B & C. These three products are created through a joint process that costs $26,000. The following data is provided for the three products:  What is the amount of joint costs assigned to Product B using the sales-value-at-split-off method? (Round the nearest whole dollar)
A)$2,019. 
B)$10,833. 
C)$12,381. 
D)$24,762.

Quizplus · Accepted Answer

$5,000 ÷ ($2,500 + $5,000 + $3,000) x $26,000 = $12,381. B sales value. ÷ (A sales value. + B Sales value. + C sales value.) x joint costs

Cisco Company Manufactures Three Products, A, B & C