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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 1,700 $15 Units
Wright Company produces products I, J, and K from a single raw material input. Budgeted data for the next month follows: Product 1,700 $15 Units produced Per unit sales value at split-off Added processing costs per unit Per unit sales value if processed further Product J 2,200 $20 $6 $21 Product K. 3,200 $17 $6 $26 $4 $21 If the cost of the raw material input is $70,000, which of the products should be processed beyond the split- off point? Product A) yes B) I yes | C) no | DL no Product J yes no yes yes Product K no yes no yes O Option C O Option D O Option B O Option A
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