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9. The Big Three Corporation manufactures three products (LUC. PLA, and JOS) from a joint process The three products are in industrial grade form at

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9. The Big Three Corporation manufactures three products (LUC. PLA, and JOS) from a joint process The three products are in industrial grade form at the sotit off point. They can either be sold at that point or processed further into premium grade. Costs related to each batch of this production as follows: LUC PLA Sales Price at split-off point Allocated joint costs $16 $12 $6,000 Sales Price after further processing $6,000 $20 $2,000 1,000 lb. $6,000 $18 $3,000 Cost of further processing $5,000 1,000 lb Product Quantity 1,000 16. For which product(s) above would it be more profitable for The Big Three Corp. to process further rather than sell at the split-off point? a) JOS only b) PLA and JOS only c) LUC and PLA only d) All three e) None

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