The Rich and Creamy Edibles Factory manufactures and distributes…

Question Answered step-by-step The Rich and Creamy Edibles Factory manufactures and distributes… The Rich and Creamy Edibles Factory manufactures and distributes chocolate products.  Rich and Creamy Edibles buys raw chocolate and processes it into three joint products: dark chocolate (DC), milk chocolate (MC), and white chocolate (WC).  The dark chocolate is further processed into sugar-free dark chocolate (SFDC) and sold to health food stores.  The milk chocolate and white chocolate are sold at the splitoff point without further processing to food processors who use them as raw materials in their operations. During the current month, raw chocolate costing $40,000 was processed at an additional cost of $90,000 into the three joint products.  There were no beginning inventories of raw materials or work in process, and all raw material purchased this month was fully processed.  Data regarding output and selling prices at the splitoff point are as follows:ProductQuantityProducedSelling Price per kgat Splitoff PointDCMCWC80,000100,00050,000$1.60$1.20$0.60 The dark chocolate (DC) was processed into sugar-free dark chocolate (SFDC) at an additional cost of $41,600.  This resulted in 75,000 kg of SFDC which can be sold for $2.40/kg. REQUIRED:Allocate the current month’s joint costs to the products using:1.          Sales value at splitoff method.2.          Physical measures method (as produced at splitoff point).3.          Constant Gross Margin Percentage NRV Method.Round all allocations to the nearest dollar. Accounting Business Cost Accounting ACCT 227 Share QuestionEmailCopy link Comments (0)