PLEASE INCLUDE FORMULAS
Check your worksheet by changing the cost of further processing undyed coarse wool in cell B12 to $30,000. The overall financial advantage (disadvantage) from processing all intermediate products into final products should now be $150,000 and the financial advantage (disadvantage) from further processing undyed coarse wool should now be $10,000. If you do not get these answers, find the errors in your worksheet and correct them.
Chapter 12: Applying Excel
Data
Exhibit 12-7 Santa Maria Wool Cooperative
Cost of wool$200,000
Cost of separation process$40,000
Sales value of intermediate products at split-off point:
Undyed coarse wool$120,000
Undyed fine wool$150,000
Undyed superfine wool$60,000
Costs of further processing (dyeing) intermediate products:
Undyed coarse wool$50,000
Undyed fine wool$60,000
Undyed superfine wool$10,000
Sales value of end products:
Dyed coarse wool$160,000
Dyed fine wool$240,000
Dyed superfine wool$90,000
Enter a formula into each of the cells marked with a ? below
Example: Joint Product Costs and the Contribution Approach
Analysis of the profitability of the overall operation:
Combined final sales value ?
Less costs of producing the end products:
Cost of wool?
Cost of separation process?
Combined costs of dyeing??
Profit ?
Analysis of sell or process further:
CoarseFineSuperfine
WoolWoolWool
Final sales value after further processing???
Less sales value at the split-off point???
Incremental revenue from further processing???
Less cost of further processing (dyeing)???
Financial advantage (disadvantage) of further processing???
Answers: 1
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PLEASE INCLUDE FORMULAS
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