Galveston Corporation has $219,000 of joint processing costs and is studying whether to process J and K beyond the split-off point. Information about J and
Galveston Corporation has $219,000 of joint processing costs and is studying whether to process J and K beyond the split-off point. Information about J and K follows. Product ] Product K Tons produced 28,000 15,000 Separable variable processing costs beyond split-off $81, 200 $99, 600 Selling price per ton at split-off 12 55 Selling price per ton after additional processing 18 61 If Galveston desires to maximize total company income, what should the firm do with regard to Products J and K? Product J Product K Sell at split-off Sell at split-off Sell at split-off Process beyond split-off Process beyond split-off Sell at split-off Process beyond split-off Process beyond split-off There is not enough information to judge Multiple Choice O Choice A O Choice B O Choice C O Choice D O Choice E
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