Christiansen Corporation manufactures joint products W and X. During a recent period, joint costs amounted to $300,000 in the production of 20,000 gallons of W and 60,000 gallons of X. Both products will be processed beyond the split-off point, giving rise to the following data: $\begin{array}{lcc}
&\underline{\text {W}}&\underline{\text {X}}\
\text { Separable processing costs } & \$ 40,000 & \$ 160,000 \
\text { Sales price (per gallon) if processed beyond split-off } & \$ 14 & \$ 12
\end{array}$ The joint cost allocated to W under the net-realizable-value method would be:
A) $75,000.
B) $80,000.
C) $84,000.
D) $90,000.
E) None of the other answers are correct.

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The Answer of Christiansen Corporation manufactures joint products W and X. During a recent period, joint costs amounted to $300,000 in the production of 20,000 gallons of W and 60,000 gallons of X. Both products will be processed beyond the split-off point, giving rise to the following data: $\begin{array}{lcc}
&\underline{\text {W}}&\underline{\text {X}}\
\text { Separable processing costs } & \$ 40,000 & \$ 160,000 \
\text { Sales price (per gallon) if processed beyond split-off } & \$ 14 & \$ 12
\end{array}$ The joint cost allocated to W under the net-realizable-value method would be:
A) $75,000.
B) $80,000.
C) $84,000.
D) $90,000.
E) None of the other answers are correct.

Christiansen Corporation Manufactures Joint Products W and X The Joint Cost Allocated to W Under the Net-Realizable-Value Method