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Stahl 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
Stahl 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 Cost to Sales Value at Split-off after Further Point Further Processing Product 10 $100,900 $60,800 $190,500 Product 12 15,200 30,400 35,600 214,000 55,600 Product 14 150,400 (a) (b) (c) Calculate incremental profit/( and determine which products should be sold at the split-off point and which should be processed further. (Enter negative amounts using either a negative sign preceding the number e g. -45 or parentheses e g. (45).) Product Incremental profit (loss) Decision Product 10 Product 12 Product 14Step by Step Solution
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