Business, 26.10.2019 05:43 lenaeeee

Illinois soy products (upper isp) buys soybeans and processes them into other soy products. each ton of soybeans that upper isp purchases for $ 300 can be converted for an additional $ 220 into 575 lbs of soy meal and 100 gallons of soy oil. a pound of soy meal can be sold at splitoff for $ 1.28 and soy oil can be sold in bulk for $ 4 per gallon. upper isp can process the 575 pounds of soy meal into 725 pounds of soy cookies at an additional cost of $ 320. each pound of soy cookies can be sold for $ 2.28 per pound. the 100 gallons of soy oil can be packaged at a cost of $ 200 and made into 400 quarts of soyola. each quart of soyola can be sold for $ 1.55. allocate the joint cost to the cookies and the soyola using the following : a) sales value at splitoff method b) nrv method sould isp have processed each of the products further? what effect does the allocation method have on this decision?

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Illinois soy products (upper isp) buys soybeans and processes them into other soy products. each ton...

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