Trundle Ltd. produces 2 main products, J and K, and a by-product, L. There were no beginning inventories. During April, it incurred $275,000 of joint costs, which are allocated to main products using the physical output method. Additional information follows:
Required:
Assuming Trundle recognizes byproduct revenue at the time of sale, what is the total value of ending inventory?

Question

Trundle Ltd. produces 2 main products, J and K, and a by-product, L. There were no beginning inventories. During April, it incurred $275,000 of joint costs, which are allocated to main products using the physical output method. Additional information follows:
  Required:
Assuming Trundle recognizes byproduct revenue at the time of sale, what is the total value of ending inventory?

Quizplus · Accepted Answer

The Answer of Trundle Ltd. produces 2 main products, J and K, and a by-product, L. There were no beginning inventories. During April, it incurred $275,000 of joint costs, which are allocated to main products using the physical output method. Additional information follows:
  Required:
Assuming Trundle recognizes byproduct revenue at the time of sale, what is the total value of ending inventory?