1. How does the concept of alteration in genetics build on what I have learned in the previous…

for By-Product/Scrap 483 in allocating joint cost to products that have highly variable selling…

                   for By-Product/Scrap 483 in allocating joint cost to products that have highly variable selling prices. These measures are also necessary in rate-regulated industries that use cost to determine selling prices. For example, assume that a rate-regulated company has the right to set the selling price of its product at 20 percent above cost. It would be circular logic to allocate joint cost using selling prices that were set based on the cost to produce the output. Allocating joint cost

View complete question »                   for By-Product/Scrap 483 in allocating joint cost to products that have highly variable selling prices. These measures are also necessary in rate-regulated industries that use cost to determine selling prices. For example, assume that a rate-regulated company has the right to set the selling price of its product at 20 percent above cost. It would be circular logic to allocate joint cost using selling prices that were set based on the cost to produce the output. Allocating joint cost based on a physical measure, however, ignores the revenuegenerating ability of individual joint products. Products that weigh the most or that are produced in the largest quantity will receive the highest proportion of joint cost

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