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14 Sentinel Inc, manufactures three products from a common input in a joint processing operation Joint processing costs up to the split-off point total $50,000

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14 Sentinel Inc, manufactures three products from a common input in a joint processing operation Joint processing costs up to the split-off point total $50,000 per year. The company allocates these costs to the joint products on the basis of their total sales value at the split-off point. These sales values are as follows: Product X, $25,000: Product Y. $45.000; and Product Z. $30,000. Each product may be sold at the split-off point or processed further. The additional processing costs and the sales value after further processing for each product (on an annual basis) are as follows: Book Print Additional processing costs Sales value (after further processing) Product Product Product Y Z $ 10.000 $32,000 $ 6,000 40.000 75.000 37.000 Which of the products should the company be processing further? Multiple Choice Product X and Z Products Y and Z O Product X O Product X and Y 15 Products A and B are joint products. Product A can be sold for $1,200 at the split-off point, or processed further at a cost of $600 and then sold for $1,700. Product B can be sold for $3,000 at the split-off point, or processed further at a cost of $800 and then sold for $4,000. The company should process further. eBook Multiple Choice Print Product A O Product B. Both products Neither of the products. 16 A family friend has asked your help in analyzing the operations of three anonymous companies operating in the same service sector industry. Supply the missing data in the table below: (Loss amounts should be indicated by a minus sign. Enter your ROI and Rate of Return Percentage answers to the nearest percentage (i.e., 0.12 should be entered as 12).) eBook A Company B 680,000 49,000 Print $ 400,000 $ $ 560,000 $ $ $ Sales Net operating income Average operating assets Return on investment (ROI) Minimum required rate of return; Percentage Dollar amount Residual income 168,000 18 % 141,000 21% % 17% % 13/% $ 59,000 S 5,000

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