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A company manufactures three products using the same production process. The costs incurred up to the split-off point are $252,000. These costs are allocated
A company manufactures three products using the same production process. The costs incurred up to the split-off point are $252,000. 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: Number of Selling Price Additional Product Units Produced Selling Price after Processing at Split-off Processing Costs X 6,300 $12.00 $17.00 $17,640 Y 12,600 12.20 16.80 26,460 Z 5,040 20.00 22.20 15,120 (a) Which product(s) should be processed further and which should be sold at the split-off point? should be processed further but should be sold at the split-off point. Save for Later Attempts: 0 of 1 used Submit Answer
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