AB Co. Ltd manufactures product A, which yields two by products B and C. The actual joint expenses of manufacturing for a period were Rs 8,200. The profits on each product as a percentage of sales are 33?%, 25% and 15%, respectively. Subsequent expenses are as follows:
|
Products |
|||
|
A |
B |
C |
|
|
(Rs) |
(Rs) |
(Rs) |
|
|
Materials |
100 |
75 |
25 |
|
Direct wages |
200 |
125 |
50 |
|
Overheads |
150 |
125 |
75 |
|
450 |
325 |
150 |
|
|
Sales |
6,000 |
4,000 |
2,500 |
Show how you would apportion the joint expenses of manufacture.