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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 $315.000 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 $315.000 per quarter. For financial reporting purposes, the company allocates these costs to the joint products on off point Unit selling prices and total ouut ot the split-off pcint are as tollow Quarterly Output Selling Price A $13.00 per pound11,600 pounds B $ 7.00 per pound 18,200 pounds C$ 19.00 per galln ,809 8 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 Selling Price $17.40 per pound $12.40 per pound $26.40 per gallon Additi t Processing Costs $54,640 $77,580 $29,360 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 product or products should be processed further

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