The Tempura Spirits Company produces two products—methanol (wood alcohol) and turpentine—by a…

The Tempura Spirits Company produces two products—methanol (wood alcohol) and turpentine—by a… | savvyessaywriters.org

The Tempura Spirits Company produces two products—methanol (wood alcohol) and turpentine—by a joint process. Joint costs amount to $124,000 per batch of output. Each batch totals 9,500 gallons: 25% methanol and 75% tur-pentine. Both products are processed further without gain or loss in volume. Separable processing costs are methanol, $4 per gallon, and turpentine, $2 per gallon. Methanol sells for $22 per gallon. Turpentine sells for $16 per gallon.

 

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