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Phillippe manufactures A and B from a joint process (cost =$86,000 ). Ten thousand six hundred pounds of B can be sold at split-off for
Phillippe manufactures A and B from a joint process (cost =$86,000 ). Ten thousand six hundred pounds of B can be sold at split-off for $16 per pound or processed further at an additional cost of $38,000 and later sold for $18. If Phillippe decides to process B beyond the split-off point, operating income will: Multiple Choice Increase by $38,000 decrease by $16,800 increase by $16,800. decrease by $38,000. decrease by $93,952
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