Company has a joint process that produces three products : Index 1, Index 2, and Index 3. Each product may be sold at a split off or processed further and then sold . Joint processing cost for a year amounts to $200,000.Other relevant information

Products Index 1 Index 2 Index 3

Sales Value at Split Off $120,000 $80,000 $150,000

Costs after Split Off $260,000 $140,000 $190,000

Sales Value at Completion $420,000 $190,000 $350,000

Determine total net income if all products are sold at split off point

Determine total net income if all products are sold after processing

Using incremental analysis determine which products should be sold at split off point and which should be processed further