Costs and Joint Cost Allocation
Unitron Friday
1 ‘produced as/ sold as’ matrix Sold as | Produced as | | | 401 | 402 | 403 | 404 | 405 | Total | | 401 | 90,000 | 10,000 | | | | 100,000 | | 402 | | 110,000 | 30,000 | | | 140,000 | | 403 | | | 60,000 | 40,000 | | 100,000 | | 404 | | | | 20,000 | 20,000 | 40,000 | | 405 | | | | | 20,000 | 20,000 | | Total | 90,000 | 120,000 | 90,000 | 60,000 | 40,000 | 400,000 |
2
Physical Measures Method | Produced | Proportion | Joint Cost Allocation | Unit Cost | 401 | 90,000 | (90,000/400,000)0.225 or 22.5% | (200,000 x 0.225)45,000 | (45,000/90,000)0.5 | 402 | 120,000 | (120,000/400,000)0.3 or 30% | (200,000 x 0.3)60,000 | (60,000/120,000)0.5 | 403 | 90,000 | (90,000/400,000)0.225 or 22.5% | (200,000 x 0.225)45,000 | (45,000/90,000)0.5 | 404 | 60,000 | (60,000/400,000)0.15 or 15% | (200,000 x 0.15)30,000 | (30,000/60,000)0.5 | 405 | 40,000 | (40,000/400,000)0.1 or 10 % | (200,000 x 0.1)20,000 | (20,000/40,000)0.5 | | 400,000 | 1 or 100% | 200,000 | |
| 401 | 402 | 403 | 404 | 405 | Revenue | 40,000 | 84,000 | 70,000 | 32,000 | 20,000 | Costs | 50,000 | 70,000 | 50,000 | 20,000 | 10,000 | Profit | (10,000) | 14,000 | 20,000 | 12,000 | 10,000 | GM% | -0.25 | 0.17 | 0.29 | 0.38 | 0.5 |
Relative Sales Measure | Sales Value | Proportion | Joint Cost Allocation | Cost/unit | 401 | 36,000 | (36,000/259,000)0.139 or 13.9% | (200,000 x 0.139)27,800 | (27,800/90,000)0.31 | 402 | 72,000 | (72,000/259,000)0.278 or 27.7% | (200,000 x 0.278)55,600 | (55,600/120,000)0.46 | 403 | 63,000 | (63,000/259,000)0.2432 or 24.32% | (200,000 x 0.2432) 48,640 | (48,640/90,000)0.54 | 404 | 48,000 | (48,000/259,000)0.1853 or 18.53% | (200,000 x 0.1853) 37,060 | (37,060/60,000)0.62 | 405 | 40,000 | (40,000/259,000)0.1544 or 15.44% | (200,000x0.1544)30,880 | (30,880/40,000)0.77 | | 259,000 | 1 or 100% | 200,000 | 2.7 |
(this is assuming that we sold everything we made as what we made them as)
| Sales Value | Proportion | Joint
1 ‘produced as/ sold as’ matrix Sold as | Produced as | | | 401 | 402 | 403 | 404 | 405 | Total | | 401 | 90,000 | 10,000 | | | | 100,000 | | 402 | | 110,000 | 30,000 | | | 140,000 | | 403 | | | 60,000 | 40,000 | | 100,000 | | 404 | | | | 20,000 | 20,000 | 40,000 | | 405 | | | | | 20,000 | 20,000 | | Total | 90,000 | 120,000 | 90,000 | 60,000 | 40,000 | 400,000 |
2
Physical Measures Method | Produced | Proportion | Joint Cost Allocation | Unit Cost | 401 | 90,000 | (90,000/400,000)0.225 or 22.5% | (200,000 x 0.225)45,000 | (45,000/90,000)0.5 | 402 | 120,000 | (120,000/400,000)0.3 or 30% | (200,000 x 0.3)60,000 | (60,000/120,000)0.5 | 403 | 90,000 | (90,000/400,000)0.225 or 22.5% | (200,000 x 0.225)45,000 | (45,000/90,000)0.5 | 404 | 60,000 | (60,000/400,000)0.15 or 15% | (200,000 x 0.15)30,000 | (30,000/60,000)0.5 | 405 | 40,000 | (40,000/400,000)0.1 or 10 % | (200,000 x 0.1)20,000 | (20,000/40,000)0.5 | | 400,000 | 1 or 100% | 200,000 | |
| 401 | 402 | 403 | 404 | 405 | Revenue | 40,000 | 84,000 | 70,000 | 32,000 | 20,000 | Costs | 50,000 | 70,000 | 50,000 | 20,000 | 10,000 | Profit | (10,000) | 14,000 | 20,000 | 12,000 | 10,000 | GM% | -0.25 | 0.17 | 0.29 | 0.38 | 0.5 |
Relative Sales Measure | Sales Value | Proportion | Joint Cost Allocation | Cost/unit | 401 | 36,000 | (36,000/259,000)0.139 or 13.9% | (200,000 x 0.139)27,800 | (27,800/90,000)0.31 | 402 | 72,000 | (72,000/259,000)0.278 or 27.7% | (200,000 x 0.278)55,600 | (55,600/120,000)0.46 | 403 | 63,000 | (63,000/259,000)0.2432 or 24.32% | (200,000 x 0.2432) 48,640 | (48,640/90,000)0.54 | 404 | 48,000 | (48,000/259,000)0.1853 or 18.53% | (200,000 x 0.1853) 37,060 | (37,060/60,000)0.62 | 405 | 40,000 | (40,000/259,000)0.1544 or 15.44% | (200,000x0.1544)30,880 | (30,880/40,000)0.77 | | 259,000 | 1 or 100% | 200,000 | 2.7 |
(this is assuming that we sold everything we made as what we made them as)
| Sales Value | Proportion | Joint