$$600$

$($$$9,000)$

Question $8$

$4$ pts

The Wyeth Corporation produces three products. A$.8.$ and C$,$ from a single raw material input. Product A can be sold at the split off point for $$40,000,$ or it can be processed further at a total cost of $$15,000$ and then sold for $$58,000.$ Joint costs total $$60,000$ annually. Product A should be:

$$ discontinued because revenues after fu: ther procis sind wh ws than total jaint costs.

sold at the split$-$off point.

processed further and then sold.

$$ processed further only if its share of the total icint costs is less than the ncremental revenues from further processing.