Refer to the data in Exercise 11-41, suppose that Oak View Chemicals uses the physical quantities method to allocate joint costs and the revenues from by-products are credited to joint costs.

Required
Under these assumptions, the following product(s) should be processed further and then sold:
a. M-10
b. M-20
c. Both M-10 and M-20
d. Neither M-10 nor M-20
e. Cannot tell from the information given.

Exercise 11-41

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If Processed Further Unit Sales Additional Sales Value Costs (Per (Per Unit) Unit) Units Product Produced Value at Split-off М-10 22,000 $ 5.00 $2.00 $ 6.00 М-20 14,000 $ 10.000 $4.00 $ 16.00 В 60 5,000 $0.50 NA NA