(By-product accounting method selection) Your company engages in joint processes that produce significant quantities and types of by-products. You have been re¬ quested by the chairman of your company’s Board of Directors to give a report to the board regarding making a good choice of accounting methods for by¬ products. Develop a set of criteria for making such a choice and provide reasons that each of the criteria has been selected. On the basis of your criteria, along with any additional assumptions you may wish to provide about the nature of your company, recommend a particular method of accounting for by-products and explain why you consider it to be better than the alternatives.

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