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two products w and x are created from joint process. both can be sold immediately after split off there are no opening inventories or wip the following info is available for the last period total joint production cost $776160
product production units sales unit selling price per unit
w 12000 10000 $10
x 10000 8000 $12
using sales value method of apportioning joint production costs what was the closing inventory for x in the last period…. thnx in advance………..Have you watched the free lecture on joint costs?
The sales value of the production is (12000 x 10) + (10000 x 12) = 240,000
Therefore the joint costs for X are ((10000 x 12) / 240,000) x 776160 = 388080
Therefore the cost per unit for X are 388080 / 10,000 = 38.808.
There are 2,000 units in inventory (10000 – 8000) and these will be valued at $38.808 per unit.
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