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Shamrock, Inc. produces three separate products from a common process costing $100,100. Each of the products can be sold at the split-off point or can

Shamrock, Inc. produces three separate products from a common process costing $100,100. Each of the products can be sold at the split-off point or can be processed further and then sold for a higher price. The cost and selling price data for a recent period are as follows:

Sales Value at Split-Off Point Cost to Process Further Sales Value after Further Processing
Product 12 $50,900 $100,100 $189,800
Product 14 10,400 30,800 34,600
Product 16 59,100 149,100 219,000

Determine the total net income if all products are sold at the split-off point.

Total net income $enter the total net income in dollars

Question Part Score

--/2

Determine the total net income if all products are sold after further processing.

Total net income $enter the total net income in dollars

Question Part Score

--/3

Using incremental analysis, determine which products should be sold at the split-off point and which should be processed further. (If an amount reduces the net income then enter with a negative sign preceding the number, e.g. -15,000 or parenthesis, e.g. (15,000).)

Incremental Profit/(Loss) Decision
Product 12 $enter a dollar amount

select an option Should be processed further

Should be sold at the split-off point

Product 14 $enter a dollar amount

select an option Should be processed further

Should be sold at the split-off point

Product 16 $enter a dollar amount

select an option Should be processed further

Should be sold at the split-off point

Question Part Score

--/6

Determine the total net income using the results from the previous part of the question.

Total net income $enter the total net income in dollars

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