PROBLEM 4 Garvin Corporation manufactures joint products P and Q. During a recent period, joint costs amounted to $80,000 in the production of 20,000 gallons of P and 60,000 gallons of Q. Garvin can sell P and Q at split-off for $2.20 per gallon and S2.60 per gallon, respectively. Alternatively, both products can be processed beyond the split-off point, as follows: Separable processing costs Sales price (per gallon) if processed beyond split-off 2 $15,000 $35,000 $3 Allocate joint cost using NRV method