Only need answer to b:

B) Would your decision be different if the company was using the quantity of output to allocate joint costs? Explain why

A company manufactures three products (Eldhs, Badherbergi and Svefnherbergi) using the same production process. The costs incurred up to the split-off point are $2,000,000. These costs are allocated to the products on the basis of their sales value at the split-off point. The number of units produced, the selling prices per unit of the three products at the split-off point and after further processing, and the additional processing costs are as follow: Number of Selling Price Additional Selling Price at Split-off $100.00 116.00 194.00 ProductUnits Produced 5,000 10,000 4,000 $150.00 162.00 216.00 $140,000 210,000 120,000 Instructions (a) Which product(s) should be processed further and which should be sold at the split-off point? SOLVE INCREMENTALLY (b) Would your decision be different if the company was using the quantity of output to allocate oint costs? Explain