Information About Three Joint Products Follows: the Cost of the Joint

question 5

Multiple Choice

Information about three joint products follows: The cost of the joint process is $60,000.Which of the joint products should be sold at split-off?
$$\begin{array} { l r r r } &A&B&C\\\text { Anticipated production } & 5,000 \mathrm {~kg} & 1,000 \mathrm {~kg} & 2,000 \mathrm {~kg} \\\text { Selling price/kg at split-off } & \$ 10 & \$ 30 & \$ 16 \\\text { Additional processing costs/kg after split-off } & & & \\\quad \text { (all variable) } & \$ 6 & \$ 12 & \$ 24 \\\text { Selling price/kg after further processing } & \$ 20 & \$ 40 & \$ 50\end{array}$$

• A)joint product A
• B)joint product B
• C)joint product C
• D)none of the joint products

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Definitions:

Diapedesis

The squeezing of a cell through a blood vessel wall.

WBCs

White blood cells, which are part of the immune system and help the body fight infections and other diseases.

Globulins

Plasma proteins that transport lipids and some vitamins.

Plasma Proteins

Vital proteins found in blood plasma involved in diverse functions, including clotting, immune responses, and carrying substances throughout the body.