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Joint and By product

HHunain3y ago
a company manufactures three products A B and C they all are processed through a common process product A and B are main product and C is the by product the common cost of the process in month of may was 150000 following is the data related to every product in month of may Output A 1000 B 1500 C 500 SALES A 800 B 1200 C 400 The NRV of by product is 2 per kg and is deducted from cost of main product selling price of product A is 100 and of B is 40 suppose that company uses sales value method for apportion joint cost What will be the profit loss of product B in may 5500 profit 5500 loss 3300 profit 3300 loss Sir my answer is 7950 Which is not here I have deducted the NRV from main cost and then I have devided the revenue of product B by total revenue and then multiply it by joint cost which was (150000-800) I did as follows 48000/128000*149500 And then subtract this from sales of B to find profit Can you please tell what i did wrong And the answer given is 3300 profit
HHunain3y ago#1
Sorry sir i have solved this I just watched your lecture and multiplied it with production units
kengarrettkengarrettTutor3y ago#2
Glad the lecture helped!
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