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Stahl Inc. produces three separate products froma common process costing $100,000. Each of the products can be sold at the split-off point or can be
Stahl Inc. produces three separate products froma 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 Sales Value Cost to at Split-Off Process after Further Processing Point Further Product 10 $60,800 $100,900 $190,500 Product 12 15,200 30,400 35,600 Product 14 55,600 150,400 214,000 Determine total net income if all products are sold at the split-off point. Net income $ 31600 Determine total net income if all products are sold after further processing Net income $ Calculate incremental profit/(loss) 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 14 $ Determine total net income using the results from previous part. Net income $ Is the net income different from that determined in part (b)? ,net income is by $
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