Question
Please assist with this question and show work. Decision Making #1-Sell or Process Further Joint Product Decision XYZ manufactures A and B from a joint
Please assist with this question and show work.
Decision Making #1-Sell or Process Further Joint Product Decision XYZ manufactures A and B from a joint process cost = $70,000. Six thousand pounds of A can be sold at split-off for $20 per pound or processed further at an additional cost of $15000 and then sold for $24. Five thousand pounds of B can be sold at split-off for $10 per pound or processed further at an additional cost of $13,000 and later sold for $17. Required: Which products should be processed further or not? Why? Give the total dollar impact to income for each product based on your recommendation.
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