Dorsey Company manufactures three products from a common input in a joint processing operation Joint processing costs up to the split-off point total $335.000 per quarter For financial 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 Product Selling Price 5 17.00 per pound $11.00 per pound 5 23.00 per gallon Quarterly output 12,400 pounds 19,400 pounds 3,600 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: Additional Selling Product Processing Costs Price $63,720 $21.50 per pound $91,120 $16.80 per pound $37.36 $30.00 per gallon Required: 1. What is the financial 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 productor products should be processed further? Complete this question by entering your answers in the tabs below. Required: Required 2 What is the financial advantage (disadvantage) of further processing each of the three products beyond the split-off point? (Enter "disadvantages as a negative value.) Product Troducts Product Financial advantage (disadvantage) of further processing Regutan Required 2 > Depreciation (5215005 years) TFC Garage et Automobile tax and license Variable operating cost 5.4.300 $2,300 $1,280 $ 500 $ 0.14 per wile The vartable operating cost consists of gasoline, oll tires, maintenance and repairs Kristen estimates that at her current rate of usage, the car will have zero resale value in five years, so the annual straight-line depreciation is $4,300 The car is kept in a garage for a monthly fee Required: 1. Kristen drove the car 28,000 miles last year Compute the average cost per mute of owning and operating the car, (Round your answers to 2 decimal places.) Average fred cost per mile Variabin operating cost per mille Average cost permite S 0.00 2. Kristen is unsure about whether she should use her own car or rent a car to go on an edended cross-country trip for two weeks during spring break What costs above are relevant in this decision Assume that there is no decrease in the resale value of the car due to its use (You may select more than one answer, Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) 2 Viele operating co 2 Depreciation z Automobila consects 2 inscrance
