In this question 5 of the notes , Shouldn't we multiple by the selling price by units sold ? But why is it multiple by the units produced ? (While allocating joint cost)
Swathi Krishna
CA Final
★ 8K+
17-Nov-20 11:17
313
Answers (6)
Cost is incurred for production.
CA Suraj Lakhotia
Admin
17-Nov-20 11:19
Ohooo .....k
Thread Starter
Swathi Krishna
CA Final
★ 8K+
17-Nov-20 11:20
Thax sir
Thread Starter
Swathi Krishna
CA Final
★ 8K+
17-Nov-20 11:20
Sir ,
Is Profit margin deducted from sales value to arrive at NRV only in costing as shown in this formula?
Yedu Krishnan
CA Final
★ 1K+
19-Nov-20 02:50
This is to arrive at NRV at split off point.
For AS-2 we calculate NRV of finished product.