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Terminology |
Joint Product Process:
A process that results in production of two or more products, which are termed as joint products. |
Joint product cost:
The cost of the raw materials/input and the joint production process. |
Split Off Point:
The point in the production process where the individual products become separately identifiable. |
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| Joint Cost Allocation: Methods |
- Physical units method.
- Relative Sales Value Method.
- Sale value at split off point.
- Net Realisable value method.
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