Dorsey Company manufactures three products from a common input in a joint processing operation. Joint processing costs up to the split$-$off point total $$305,000$ per quarter. For financlal reporting purposes, 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:

$\backslash$table$[[$Product$,$Selling Price,Quarterly output$],[$A$,$$$11\mathrm{.}00$ per pound,$11,200$ pounds$],[$B$,$$$5\mathrm{.}00$ per pound,$17,600$ pounds$],[$C$,$$$17\mathrm{.}00$ per gallon,$2,400$ 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:

$\backslash$table$[[,\backslash$table$[[$Additional$],[$Processing$],[$Costs$]],],[$Product$,$$$50,340,$Selling Price$],[$A$,$$$15\mathrm{.}20$ per pound,$],[$B$,$$$71,170,$$$10\mathrm{.}20$ per pound$],[$C$,$$$25,600,$$$24\mathrm{.}20$ per gallon$]]$

Requlred:

What is the financlal advantage $($disadvantage$)$ of further processing each of the three products beyond the split$-$off point?

$2$ Based on your analysis in requirement $1,$ which product or products should be sold at the split$-$off point and which product or products should be processed further?

Complete this question by entering your answers in the tabs below.

What is the financial advantage $($disadvantage$)$ of further processing each of the three products beyond the split$-$off point?

$($Do not round your intermediate calculations. Enter "disadvantages" as a negative value.$)$

$\backslash$table$[[,$Product A$,$Product B$,$Product C$],[$Financial advantage $($disadvantage$)$ of further processing,,,$]$