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Wright Company produces products I, J, and K from a single raw material input. Budgeted data for the next month follows: Product 2,300 $18 Product
Wright Company produces products I, J, and K from a single raw material input. Budgeted data for the next month follows: Product 2,300 $18 Product 2,800 $26 Product K 3,800 $23 Units produced Per unit sales value at split-off Added processing costs per unit Per unit sales value if processed further $2 $4 $4 $27 $27 $32 If the cost of the raw material input is $86,000, which of the products should be processed beyond the split-off point? A) B) C) D) Product yes yes no no Product yes no yes yes Product K no yes no yes O Option B 0 Option D Option A O Optionc
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