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Schultz, Inc. produces three separate products from a common process costing $100,000. Each of the products can be sold at the split-off point or can
Schultz, Inc. produces three separate products from a common process costing $100,000. Each of the products can be sold at the split-off point or can be processed further and then sold for a higher price. Shown below are cost and selling price data for a recent period. Sales Value at Split-off Point Cost to Process Further Sales Value After Further Processing Product 12 $50,000 $100,000 $190,000 Product 14 10,000 30,000 35,000 Product 16 60,000 150,000 220,000 Determine total net income if all products are sold at the split-off point. $ Determine total net income if all products are sold after further processing. $ Using incremental analysis, determine which products should be sold at the split-off point and which should be processed further. Product 12 Product 14 Product 16 Determine total net income using the results from the previous part of the question. $
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