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Exercise 20-10 Stahl Inc. produces three separate products from a common process costing $100,100. Each of the products can be sold at the split-off point
Exercise 20-10 Stahl Inc. produces three separate products from a common process costing $100,100. Each of the products can be sold at the split-off point or can be processed further and then sold for a higher price. Shown below are cost and selling price data for a recent period. Product 10 Product 12 Product 14 Sales Value at Split-Off Point $61,000 15,200 54,800 Cost to Process Further $101,000 29,600 149,700 Sales Value after Further Processing $189,700 34,700 214,900 Determine total net income if all products are sold at the split-off point. Net income $ Determine total net income if all products are sold after further processing. Net income Calculate incremental profit/(loss) and determine which products should be sold at the split-off point and which should be processed further. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Product Incremental profit (loss) Decision Product 10 A Product 12 A Product 14 A Determine total net income using the results from previous part. Net income $ Is the net income different from that determined in part (b)? , net income is by $
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