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6 Skipped Dorsey Company manufactures three products from a common input in a joint processing operation Joint processing costs up to the split-off point total

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6 Skipped Dorsey Company manufactures three products from a common input in a joint processing operation Joint processing costs up to the split-off point total $335,000 per quarter. For financial reporting purposes, the company allocates these costs to the joint products on the basis of their relative sales value at the split-off point. Unit selling prices and total output at the split-off point are as follows: Product Selling Price Quarterly Output A $ 17.00 per pound 12,400 pounds B $11.00 per pound 19,400 pounds C $ 23.00 per gallon 3,600 gallons Each product can be processed further after the split-off point. Additional processing requires no special facilities. The additional processing costs (per quarter) and unit selling prices after further processing are given below: Additional Processing Product Costs Selling Price $ 63,720 $ 21.00 per pound B $ 91,120 $16.80 per pound C $ 37,360 $ 30.80 per gallon Required: 1. What is the financial advantage (disadvantage) of further processing each of the three products beyond the split-off point? 2. Based on your analysis in requirement 1, which product or products should be sold at the split-off point and which product or products should be processed further? A Complete this question by entering your answers in the tabs below. Print Required 1 Required 2 What is the financial advantage (disadvantage of further processing each of the three products beyond the split-off point? (Enter "disadvantages" as a negative value.) Product A Product B Financial advantage (disadvantage) of further processing Product C Complete this question by entering your answers in the tabs below. Print Required 1 Required 2 Based on your analysis in requirement 1, which product or products should be sold at the split-off point and which product or products should be processed further? Product A Products Product C Sell at split-off point? Process further

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