Q719
Final sales is subtracted from net realizable value is used to calculate
A.
separable costs
AnswerB.
inseparable costs
C.
joint costs
D.
floating costs
Answer: Option A
Solution
Answer: Option A
Solution:
Final sales is subtracted from net realizable value is used to calculate separable costs. The net realizable value method allocates joint costs on the basis of the final sales value less separable costs.