When allocating joint process cost based on tons of output,all products will
A)be salable at split-off.
B)have the same joint cost per ton.
C)have a sales value greater than their costs.
D)have no disposal costs at the split-off point.

Question

Quizplus · Accepted Answer

When allocating joint process cost based on tons of output, all products will have the same joint cost per ton. This is because the joint process cost is incurred jointly for all the products produced in the process. Therefore, the costs are allocated based on the tons of output produced by each product, resulting in the same joint cost per ton for all products. The other options (A, C, and D) are not necessarily true for all products, and thus, not the best choice.

When Allocating Joint Process Cost Based on Tons of Output,all