Brevall Industries makes corn oil and corn meal from harvested corn in a joint process. Corn oil can be further processed into margarine, and the corn meal can be further processed into corn muffin mix. The joint cost incurred to process the corn to the split-off point is $140,000. Information on the quantities, value, and further processing costs for the joint product appears below:

		Quantity		Sales Value At Split-off		Estimated Further Processing Cost		Sales Value After Processing
Corn Oil		800,000 lbs.		$0.30/lb.		$0.15/lb.		$0.60/lb.
Corn Meal		1,600,000 lbs.		0.10/lb.		0.46/lb.		0.55/lb.

Brevall allocates the joint cost to the products based on physical units. Corn oil is assigned $46,667 of joint cost and corn meal is assigned $93,333 of joint cost. Which products should be processed further?

Corn oil

Corn meal

Both corn oil and corn meal

Neither corn oil nor corn meal