The Company has a joint process, which produces three products called X, Y and Z. Each product may be sold at split-off or processed further and then sold. Joint processing costs for a year are $20,000. other relevant data iS

Product	Sales Value at Split-Off	Separable Processing Costs After Split-Off	Sales Value at Completion
X	$94,000	$28,000	$115,000
Y	60,000	10,000	82,000
Z	66,000	14,000	79,000

1.) Which products should be processed further? Why?

2.) If the Company maximizes profits, what is the operating income?