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XYZ has a joint processing activity that involves the production of three sandwiches Sandwich A Sandwich B Sandwich C The date related to costs and

XYZ has a joint processing activity that involves the production of three sandwiches

Sandwich A

Sandwich B

Sandwich C

The date related to costs and sales values are as follows:

Cost Data:

Cost 1: Cost of Meat $400,000 Joint Costs A

Cost 2: Cost of Cooking $ 80,000 Joint Costs B

Total Joint Costs $480,000

Initial Sales Value:

Initial Sales Value Sandwich A $240,000

Initial Sales Value Sandwich B $300,000

Initial Sales Value Sandwich C $120,000

Separate Costs (costs of further processing beyond the split-off point)

Separate Costs Sandwich A $90,000 Preparation Costs

Separate Costs Sandwich B $140,000 Preparation Costs

Separate Costs Sandwich C $30,000 Preparation Costs

Total Separate Costs $260,000 Total Costs C

Final Sales Value:

Final Sale Value Sandwich A $320,000

Final Sales Value Sandwich B $480,000

Final Sales Value Sandwich C $180,000

Total $980,000

Compute the net monetary value of processing Sandwich A beyond the split-off point.

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