the NRV method$)?$ Snould the company proauce ule

$16-19$ Joint cost allocation: sell immediately or process further. Saskatchewan Soy Products $($SSP$)$ buys soy beans and processes them into other soy products. Each ton of soy beans that SSP purchases for $$300$ can be converted for an additional $$200$ into $500$ lbs of soy meal and $100$ gallons of soy oil. A pound of soy meal can be sold at splitoff for $$1$ and soy oil can be sold in bulk for $$4$ per gallon.

SSP can process the $500$ lbs of soy meal into $600$ Ibs of soy cookies at an additional cost of $$300.$ Each pound of soy cookies can be sold for $$2$ per pound. The $100$ gallons of soy oil can be packaged at a cost of $$200$ and made into $400$ quarts of Soyola. Each quart of Soyola can be sold for $$1\mathrm{.}25.$

Required

Allocate the joint cost to the cookies and the Soyola using

a$.$ Sales value at splitoff method

b$.$ NRV method

Should the company have processed each of the products further? What effect does the allocation method have on this decision?