Dorsey Company manufactures three products from a common input in a joint processing operation. Joint processing costs up to the split$-$off point total $$350,000$ per quarter. For financial reporting purposes, the company allocates these costs to the joint products based on 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$,$$$16$ per pound,$15,000$ pounds$],[$B$,$$$8$ per pound,$20,000$ pounds$],[$C$,$$$25$ per gallon,$4,000$ 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$,$Selling Price,$],[$A$,$$$63,000,$$$20$ per pound$],[$B$,$$$80,000,$$$13$ per pound$],[$C$,$$$36,000,$$$32$ per gallon$]]$

Required:

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

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

Note: Enter "disadvantages" as a negative value.

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