Question

Physical Units Method Alomar Company manufactures four products from a joint production process: barlon, selene, plicene,...

Physical Units Method

Alomar Company manufactures four products from a joint production process: barlon, selene, plicene, and corsol. The joint costs for one batch are as follows:

Direct materials $60,876
Direct labor 33,467
Overhead 27,574

At the split-off point, a batch yields 1,495 barlon, 3,670 selene, 3,126 plicene, and 5,301 corsol. All products are sold at the split-off point: barlon sells for $14 per unit, selene sells for $22 per unit, plicene sells for $27 per unit, and corsol sells for $36 per unit.

Required:

1. Allocate the joint costs using the physical units method. If required, round your percentage allocation to four decimal places and round allocated costs to the nearest dollar. Note: The total of the allocated cost does not equal to the one provided in the question data due to rounding error.

Allocated Joint Cost
Barlon $
Selene
Plicene
Corsol
Total $

2. Suppose that the products are weighted as shown below:

Barlon 1.2
Selene 1.8
Plicene 1.5
Corsol 2.4

Allocate the joint costs using the weighted average method. If required, round your percentage allocation to four decimal places and round allocated costs to the nearest dollar.

Allocated Joint Cost
Barlon $
Selene
Plicene
Corsol
Total $

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