Description of this paper

Loading

The relative sales value method is a technique used to allocate-(Answered)

Description

Step-by-step Instant Solution


Question

The relative sales value method is a technique used to allocate joint costs based on the prices at which products will be sold. For example, a production process incurs $100 of costs in order to create two products, one of which (Product A) will sell for $400 and the other (Product B) for $100. Under this method, 80% of the $100 joint cost is assigned to Product A. The calculation is:

 

Paper#9257107 | Written in 27-Jul-2016

Price : $16
SiteLock