Question
Elizabeth Pharmaceutical produces several medicines. Each compound can be sold at the split-off point or processed further. The following results apply to March: Product Sales
Elizabeth Pharmaceutical produces several medicines. Each compound can be sold at the split-off point or processed further. The following results apply to March:
Product | Sales Value at Split-off Point | Sales Value After Additional Processing | |
Savior I | $19,000 | $26,000 | |
Savior II | 23,500 | 33,000 | |
Product | Incremental revenue | Incremental cost | Profit or loss from Sales budget for Additional processing each product | |
Savior I | _________ | $ 5,300 | _________ ___________ | |
Savior II | _________ | 10,500 | _________ ____________ | |
Total Sales Budget___________ |
After deciding whether to process further, determine the final Sales budget for each product.
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