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 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:

$\backslash$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 gatlon,$2,400$ 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$]],$Selling Price$],[$Product$,$$$50,340,$$$15\mathrm{.}20$ per pound$],[$A$,$$$71,170,$$$10\mathrm{.}20$ per pound$],[$B$,$$$71,600,$$$24\mathrm{.}20$ per gallon$],[$C$,$$$25,600,]]$

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 product or products should be processed further?

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

Required $2$

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 $C$