The kirei-hana japanese steak house in san francisco consumes 36,000 pounds of sirloin steak each year. yama hirai, the new restaurant manager, recently completed an mba degree. he learned that the steak was replenished using an eoq value of 2,000 pounds. the eoq value was computed assuming an interest rate of 36 percent per year. assume that the current cost of the sirloin steak to the steak house is $4 per pound.
what is the setup cost used in determining the eoq value.

Solomon chemical company makes three products, b7, k6, and x9, which are joint products from the same materials. in a standard batch of 320,000 pounds of raw materials, the company generates 70,000 pounds of b7, 150,000 pounds of k6, and 100,000 pounds of x9. a standard batch costs $3,840,000 to produce. the sales prices per pound are $10, $14, and $20 for b7, k6, and x9, respectively. (a) allocate the joint product cost among the three final products using weight as the allocation base. (b) allocate the joint product cost among the three final products using market value as the allocation base. (c) allocate the joint product cost among the three final products using weight as the allocation base.