Physical Units Method, Relative Sales-Value-at-Split-off Method, Net Realizable Valive Method, Decision Making Sonimad Sowmil, Inc....

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Physical Units Method, Relative Sales-Value-at-Split-off Method, Net Realizable Valive Method, Decision Making Sonimad Sowmil, Inc. (SSI), purchases logs from independent timber contractors and processes them into the following three types of lumber products: 1. Studs for residential construction (e-g, walls and cellings) 2. Decorative pieces (e.9, fireplace manteis and beams for cathedral celings) 3. poste uted as support breces (e.g, mine support braces and braces for exterior fences around ranch properties) These products are the result of a joint sawmill process that involves removing bark from the logs, cutting the logs into a workable'size (ranging from 8 to 16 feet in iength), and then cutting the individual products from the logs, depending upon the type of wood (pine, oak, wainut, or maple) and the size (diameter) of the log. The joins process revuts in the foflowing coste and output of products during it typicat month: Product vield and average sales value on a per unit basis from the joint process are as follows; c. Estimated net realizable value method. When required, round decimal values to four places before converting to a percentage, For example, 38349 would be rounded to ,8835 and entered as "88,35" percent. The studs are soid as rough-cut lumber after enserging from the sawme operation without furtoer processing by 55t. Asso, the posts require no further processing. The pleces where the saies price averages $60 per unit. Reopired: 1. Based on the information given for Sonimad sawmill, Inci, allocate the faint processing casts of $1,010,000 to noch of the theee product lines usho the would be rounded to .8835 and entered as "-8a.35" percent

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