Which of the Following Statements About Joint-Cost Allocation Is False

question 20

Multiple Choice

Which of the following statements about joint-cost allocation is false?

• A) Joint-cost allocation is useful in deciding whether to further process a product after split-off.
• B) Joint-cost allocation is useful in making a profit determination about individual joint products.
• C) Joint-cost allocation is helpful in inventory valuation.
• D) Joint-cost allocation can be based on the number of units produced.
• E) Joint-cost allocation can be accomplished by using several different methods that focus on sales value and product "worth."

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