last Q :
- For what types of products is the physical output method appropriate? Give suitable and real example that should support your answer. ch9 (1mark)
The physical output method of joint cost allocation is seldom used in practice because of its measurements difficulties .the physical output method is appropriate when products are sold in unit similar size and their net realisable value as similar . physical measurements (weight and volume) of output physical measurements is one of the most straightforward methods of common cost appropriate the weight of the product is applied to the common cost each of the joint products will have the same cost per unit.physical out put method is appropriate for joint products when joint products are capable of being measured in physical quantities the method used for allocation of joint cost are known physical quantities method.physical qualities method allocated joint cost based on a physical measured of output e.g different shades of point obtained from a single process may be allocated cost using physical quantities method.
You can get an idea of it. I would like to put the reference for this question, which is the name of the book on the first page of Chapter 9.
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