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The ABC Company buys fertizler compounts. Refining this compount in four products at the splitoff point: A, B, C, and D Product C is fully
The ABC Company buys fertizler compounts. Refining this compount in four products at the splitoff point: A, B, C, and D Product C is fully processed by the splitoff point Products A, B, and D can individually be further refined into As, Bs, and Ds In the most recent month, the output at the splitoff point was: ABC had no beginning or ending inventories. Product C is sold at split point. Products A, B, and D were further refined and then sold. Data related to December are: Super A Super B Super D Separable Processing Costs to Make Super $175,000 $80,000 $90,000 Revenues $300,000 $125,000 $225,000 Selling each product at split point would yield the following revenues: Product A, $105,000 Product B, $57,000 Product C, $63,000 Product D, $125,000 Selling each product at split point would yield the following revenues Product A $105,000 Product B, $57.000 Product C. $63.000 Product D, $125,000 1 Compute the allocation of Joint Costs of $125,000 for each product sold: a. Sales value at splitoff b. NRV 2 Recommend which products should be processed further (or not) and show supporting calculations
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