Molo Oil Company produces gasoline, home heating oil, and jet fuel from crude oil in a joint processing operation. Joint processing costs up to the split-off point total $325,000 per month. 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: Product Selling Price Gasoline $15.00 per gallon Heating $ 9.00 per gallon Oil Jet Fuel $21.00 per gallon Monthly Output 12,000 gallons 18,800 gallons 3,200 gallons 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: Product Gasoline Heating Oil Jet Fuel Additional Processing Costs $59,100 $ 84,230 Selling Price $19.60 per gallon $14.60 per gallon $28.60 per gallon $33,280 Required: 1. 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? Required 1 Required 2 What is the financial advantage (disadvantage) of further processing each of the three products beyond the split-off point? Gasoline Home Heating Oil Jet Fuel Financial advantage (disadvantage) of further processing Required 1 Required 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? Gasoline Home Heating Oil Jet Fuel Sell at split-off point? Process further