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WP Corporation produces products X, Y, and Z from a single raw material input in a joint production process. Budgeted data for the next month
WP Corporation produces products X, Y, and Z from a single raw material input in a joint production process. Budgeted data for the next month is as follows: Units produced Per unit sales value at split-off Added processing costs per unit Per unit sales value if processed further Product X 2,100 $ 16.00 $ 2.00 $ 23.00 Product Y 2,600 $ 20.00 $ 4.00 $ 23.00 Product Z 3,600 21.00 4.00 $ 28.00 tAAA The cost of the joint raw material Input is $84,000. Which of the products should be processed beyond the split-off point? A) B) Product X yes yes no Product Y yes no yes yes Product Z no yes no no yes Multiple Choice Choice A Choice B Choice C Choice D
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