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Question: Iowa Industries makes corn and corn meal in a join...

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Iowa Industries makes corn and corn meal in a joint process. The joint cost to process the corn and split of part was 140,000.

Quantity sales value at split est processing cost sales value after processing

oil 800,000 0.30 0.15 0.65 lb

meal 1,500,000 0.15 0.45 0.55 lb

when the joint cost is allocated to the products based on the sales value at the split off at each product, how much joint cost should be assigned to corn oil?

Which products if any should be processed further?Explain by calculating the incremental profit or loss from processing each product?

a.corn meal

b.corn oil

c. both

d.neither