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MANAGERIAL ACCOUNTING HELP! Dorsey Company manufactures three products from a common input in a joint processing operation. Joint processing costs up to the split-off point

MANAGERIAL ACCOUNTING HELP!

Dorsey Company manufactures three products from a common input in a joint processing operation. Joint processing costs up to the split-off point total $350,000 per quarter. For financial reporting purposes, the company allocates these costs to the joint products on the basis of their relative sales value at the split-off point. Unit selling prices and total output at the split-off point are as follows:

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Quarterly Output 15,000 pounds 20,000 pounds 4,000 gallons Selling Price $ 16 per pound 8 per pound 25 per gallon Product S S Each product can be processed further after the split-off point. Additional processing requires no special facilities. The additional processing costs (per quarter) and unit selling prices after further processing are given below Additional Processing Selling Product Price Costs $20 per pound $13 per pound $32 per gallon $63,000 $80,000 $36,000 A C Required: What is the financial advantage (disadvantage) of further processing each of the three products beyond the split-off point? 2. Based on your analysis in requirement 1, which product or products should be sold at the split-off point and which product or products should be processed further? Complete this question by entering your answers in the tabs below. Required 2 Required What is the financial advantage (disadvantage) of further processing each of the three products beyond the split-off point? (Enter "disadvantages" as a negative value.) Product B Product C Product A Financial advantage (disadvantage) of further processing Required 2> Required 1 Required 1 Required 2 em Bas dnalysis in req products should be processed furtho which product or products should be sold at the split-off point and which product or Product B Product C Product A Sell split-off point? Process further? Required 2> Required 1

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