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Exercise 12-10 Ayayai Inc. produces three separate products from a common process costing $100,300. Each of the products can be sold at the split-off pcint
Exercise 12-10 Ayayai Inc. produces three separate products from a common process costing $100,300. Each of the products can be sold at the split-off pcint or can be processed further and then sold for a higher price. Shown below are cost and selling price data for a recent period. Sales Value at Split-Off Cost to Proces Further Sales Value after Further Processing Product 1D Product 12 Product 14 Point 50,400 15,000 55,600 $10,100 10o,0D 30,100 34,000 215,900 119,100 Determine tatal net income if all products are sald at the split off point Net income Determine total net income if all products are sold after further processing Net incame s calculate incremental pro oss and determine ich products should be sold at the split off point and which should be processed further Enterne at eon ounts using either negative s n preceding the nu ber e 45 or p rent eses e (45 ) Product Incremental profit (loss) Decisionn Product 1D Product 12 Product 11 Determine total net income using the results from previous part. Net income s Is the net Income different from that determined in part (b)? net income is by $
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