Required: As management accountant of this company please recommend :

Which products should be sold at split-off and which should be processed further. Use an incremental approach, and show calculations and explain your reasoning:

MarketValue at Split-off|Incremental Revenue - Incremental Cost | Net+/-

ProductA

Product B

Product C

Part II

As seen in Part I,currently, there is no market for Product A beyond split-off point,however, if further processingon Product A, costing $12,500, is undertaken, Products A and C can be combined into a package of two related items called "AC2Bundle " and sold as a novelty.

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What is the minimum price at which the company should sell the AC2package that would be more profitable for the company as a whole?

Show calculations and explain.

Products A, B, and C are produced from a single raw material input. The raw material and other production costs up to the split-off point are $90,000, from which - Product A, 10,000 units - Product B 15,000 units - Product C 10,000 units, can be produced each period. Part I At split-off point, selling prices are as follows: - Product A $2 per unit - Product B $3 per unit - Product C $5 per unit. Further processing costs and unit selling prices are : Product A - currently there is no market beyond split-off Product B $22,500 $6.00 per unit Product C $25,000 $8.00 per unit. Required: As management accountant of this company please recommend : Which products should be sold at split-off and which should be processed further. Use an incremental approach, and show calculations and explain your reasoning: Market Value at Split-off | Incremental Revenue - Incremental Cost | Net +/- ? Product A Product B Product C Part II As seen in Part I, currently, there is no market for Product A beyond split-off point, however , if further processing on Product A, costing $12,500, is undertaken, Products A and C can be combined into a package of two related items called "AC2 Bundle " and sold as a novelty. What is the minimum price at which the company should sell the ACz package that would be more profitable for the company as a whole? Show calculations and explain