Information About Three Joint Products Follows The Cost of the Joint Process Is $140,000

question 81

Multiple Choice

Information about three joint products follows: $$\begin{array} { l c c c } & \underline { X } & \underline { Y } & \underline { Z } \\\text { Anticipated production } & 12,000 \mathrm { lbs } & 8,000 \mathrm { lbs } & 7,000 \mathrm { lbs } \\\text { Selling price/lb. at split-off } & \$ 16 & \$ 26 & \$ 48 \\\text { Additional processing costs/lb. } \\\text { after split-off (all variable) } & \$ 8 & \$ 20 & \$ 20 \\\text { Selling price/lb. after further }\\\text { processing } & \$ 20 & \$ 40 & \$ 70\end{array}$$ The cost of the joint process is $140,000.
If the firm is currently processing all three products beyond split-off, the firm's income would be

• A)$736,000.
• B)$654,000.
• C)$596,000.
• D)$514,000.

---

Definitions:

Decision-Making

The cognitive process of choosing a course of action from among multiple alternatives, often based on reasoning or instinct.

Ambiguous Situations

Circumstances or scenarios that lack clarity or can be interpreted in multiple ways, often leading to confusion or indecision.

Mature Personality

The state of psychological development where an individual exhibits emotional stability, insight, and adaptive coping mechanisms.

Ego State

A data concerning psychological states associated with different aspects of the self, including the parental, adult, and child ego states in transactional analysis theory.