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Initial Joint Costs and NRV Method

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Jedi Company imports a chemical called RS2D from Aleraan. It processes R2D2 into three products in a joint process. These products are Solo, Reti and Nym. The following facts apply to July 2009: (see attachment)
a. Allocate the joint costs of the three products using the estimated NRV method
b. Calculate the value of the ending inventories using the estimated NRV method.

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This solution shows step-by-step calculations in an Excel file to determine the joint costs of three products and the value of ending inventories using the NRV method.

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