Glasgow Sawmill Inc. purchases logs from independent timber contracts and processes them into three end products. . Studs for building wall frames and ceiling supports . Decorative Beams for fireplace mantels and cathedral ceilings . Posts for fences, etc. The joint sawmill process removes bark and cuts the logs. Joint costs include: Material (logs) $ 500,000 Debarking 50,000 Sizing 200,000 Cutting 250,000 Total Joint Costs $1,000,000 Monthly output and selling prices are: Units of Output Per Unit Sell Price Studs 75,000 Beams 5,000 $100 Posts 20,000 $20 Both Studs and Posts are ready for sale after Split-off. Beams require extra processing at a monthly cost of $100,000.REQUIRED: A) Calculate total inventory costs for all three joint products using: (11 marks) 1. The Physical method (3 marks) 2. The sales value (NRV) method (5 marks) 3. Assume by-product for posts and the physical method is used for the remaining products. (3 marks) B) Should Glasgow sell the rough cut beams at Split-off for $60 a unit or process further and sell as finished Beams. If they sell at Split-off, they will be able to sell 10% more units because there will be no loss due to further processing. (4 marks) 6