A dairy allocates the cost of unprocessed milk to the production of milk, cream, butter and cheese.For the current period, unprocessed milk was purchased for $240,000, and the following quantities of product and sales revenues were produced. How much of the $240,000 cost should be allocated to milk?
A) $0
B) $86,400
C) $90,000
D) $133,333
E) $240,000
Correct Answer:
Verified
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