Pilipinas Lumber Company Processes lumber products for sale to lumber wholesalers. Its most popular line...
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Pilipinas Lumber Company Processes lumber products for sale to lumber wholesalers. Its most popular line is narra products. Narra tree growers sell Pilipinas Lumber whole trees. These trees are jointly processed up to the split-off point at which raw narra A, raw narra B, and raw narra C become separable products. Each product is separately processed further by Pilipinas Lumber into finished products (Narra A, Narra B, and Narra C) to be sold to lumber wholesalers. Data for April 2020 are: a. Joint processing costs (including the cost of narra tree) P1,500,000 b. Separable product at the split-off point: Raw narra A, 30,000 board-feet Raw narra B, 50,000 board-feet Raw narra C, 20,000 board-feet
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