Use the Information Below to Answer the Following Question(s)

question 91

Multiple Choice

Use the information below to answer the following question(s) :
Orange Paper Company processes wood pulp into two products.During February the joint costs of processing were $156,000.Production and sales value information for the month were as follows:
Paper sells for $2.85 a kilogram and cardboard sells for $3.90 a kilogram.There were no beginning inventories for April but ending inventories totalled 15,000 kilograms for paper and 18,000 kilograms for cardboard.
-What will be the total incremental benefit or (loss) from all potential sales of processing the paper beyond the splitoff point?

• A)$251,000
• B)$281,000
• C)$513,000
• D)$311,000
• E)$232,000

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Definitions:

Weakness

Weakness refers to a lack of physical or muscle strength and the feeling of requiring more effort to move your limbs or perform tasks.

Ataxia

A neurological sign consisting of lack of voluntary coordination of muscle movements.

Coordination

The ability to use different parts of the body together smoothly and efficiently.

Lack

A state or condition of not having something or not having enough of something.