27

A company manufactures three products using the same production process. The costs incurred up to the split-off point are $200,000. These costs are allocated to the products on the basis of their sales value at the split-off point. The number of units produced, the selling prices per unit of the three products at the split-off point and after further processing, and the additional processing costs are as follow: Instructions Which product(s) should be processed further, and which should be sold at the split-off point? [Note: For this math, students must show the calculation to get points. Only writing/providing answers will not be graded]