Joint cost allocation method, in which individual product from joint products must gain a gross margin percentage is classified as
A. sales value at split off method
B. joint products value at split off method
C. constant gross margin percentage NRV method
D. Gross realizable value method
Answer: Option C
Solution(By Examveda Team)
Joint cost allocation method, in which individual product from joint products must gain a gross margin percentage is classified as constant gross margin percentage NRV method. Joint cost is the manufacturing cost incurred on a joint production process which takes common inputs but simultaneously produces multiple products called joint-products.Related Questions on Costing
Basic objective of cost accounting is ________
A. tax compliance.
B. financial audit.
C. cost ascertainment.
D. profit analysis.
Process costing is suitable for ________.
A. hospitals
B. oil refing firms
C. transport firms
D. brick laying firms
The cost which is to be incurred even when a business unit is closed is a _____.
A. imputed cost
B. historical cost
C. sunk cost
D. shutdown cost
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