Vanda inc. produces three separate products from a common process costing $100,400. Each of the products can be sold at the split-off point or can be processed further and then sold for a higher price. The cost and selling price data for a recent period are as follows:

		Sales Value at Split-Off Point			Cost to Process Further			Sales Value after Further Processing
Product 12		$50,400			$100,400			$189,200
Product 14		10,400			30,400			35,900
Product 16		59,000			149,500			219,700

Determine the total net income if all products are sold at the split-off point.

Total net income:

enter the total net income in dollars

Determine the total net income if all products are sold after further processing.

Total net income

:

enter the total net income in dollars

Using incremental analysis, determine which products should be sold at the split-off point and which should be processed further. (If an amount reduces the net income then enter with a negative sign preceding the number, e.g. -15,000 or parenthesis, e.g. (15,000).)

		Incremental Profit/(Loss)		Decision
Product 12		$enter a dollar amount		select an option Should be sold at the split-off point, or Should be processed further
Product 14		$enter a dollar amount		select an option Should be sold at the split-off point or Should be processed further
Product 16		$enter a dollar amount		select an option Should be processed further or Should be sold at the split-off point

Determine the total net income using the results from the previous part of the question.

Total net income:

enter the total net income in dollars