Ottawa Ltd -Refer to Figure 6-12

question 10

Multiple Choice

Ottawa Ltd. produces two products from a joint process. Information about the two joint products is as follows: $\begin{array}{lcc}&\text { Product } & \text { Product } \\&\mathrm{X} & \mathrm{Y}\\ \text { Anticipated production (in kgs) } & 2,000 &4,000\\ \text { Selling price per kg at split-off } & £ 30& £16 \\\text { Additi onal processing costs per } \mathrm{kg} \\\text { after split-off (all variable) } & £ 15& £30 \\\text { Selling price per kg after } & \\\text { further processing }&£40&£50 \end{array}$
-Refer to Figure 6-12. Which of Ottawa's joint products should be sold at split-off?

• A)Product X only
• B)Product Y only
• C)both Product X and Product Y
• D)neither Product X nor Product Y

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Definitions:

Ammonia

A compound of nitrogen and hydrogen with the formula NH3, commonly used as a fertilizer and in various industrial processes.

Urea

A nitrogenous compound produced in the liver as a waste product of protein metabolism.

Uric Acid

A waste product formed from the breakdown of purines, which are found in many foods, and is excreted in urine.

Nephridial Organs

Excretory organs found in many invertebrates, functioning similarly to kidneys in removing metabolic wastes from the organism’s body.