Profit from Processing Further Deaton Corporation manufactures products A, B, and C from a joint process. Joint costs are allocated on the basis of relative sales value of the products at the split-off point. Additional information for Deaton Corporation follows:

	A		B		C		Total
Units produced		12,000		8,000		4,000		24,000
Joint costs	$	144,000	$	60,000	$	36,000	$	240,000
Sales value before additional processing		240,000		100,000		60,000		400,000
Additional costs for further processing		28,000		20,000		12,000		60,000
Sales value if processed further		280,000		120,000		70,000		470,000

Required:

2a.	For each of the three products (A, B, and C), calculate the differential benefit (loss) from processing the product after the split-off point rather than selling the product at the split-off point. (Loss amounts should be indicated with a minus sign.)

2b.

Which, if any, of products A, B, and C should be processed further and then sold?

	Product A
	Product B
	Product C
	None of the above
	All of the above