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Dorsey Company manufactures three products from a common input in a joint processing operation, Joint processing costs up to the split-off point total $91,000 per

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Dorsey Company manufactures three products from a common input in a joint processing operation, Joint processing costs up to the split-off point total $91,000 per quarter. 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 $5 per pound B 6 per pound CS 9 pergation Quarterly Output 11.000 pounds 16.000 pounds 7000 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: Product Additional Processing out $ 41,000 $ 37,000 $ 11,000 Selling Price $ per pound $10 per pound $ 11 per gallon c Required: a. Compute the incremental profit (Loss) for each product. Product A Product B Product 0 . Selling price after further processing Selling price at the spin-off point Incremental revenue per pound orgalon Total quarterly output in pounds or gations Total incremental revenue Total incremental processing costs Total incremental profit or loss S 05 b. Which product or products should be sold at the split-off point? (You may select more than one answer. Single click the box with a check mark for correct answers and double click to empty the box for the wrong answers.) Product A Products 33 Product C. Which product or products should be processed further? (You may select more than one answer. Single click the box with a check mark for correct answers and double click to empty the box for the wrong answers.) 3 Product 3 Product Product C

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