Delite Confectionary Company Produces Various Types of Candies

question 93

Multiple Choice

Delite Confectionary Company produces various types of candies.Several candies could be sold at the split-off point or processed further and sold in a different form after further processing.The candies are produced in a joint processing operation with $500,000 of joint processing costs monthly,which are allocated based on pounds produced.Information concerning this process for a recent month appears below:
If Chocolate Delight is processed further,the gross profit margin that will appear in a product line income statement for Chocolate Delight would be:

• A) $734,286.
• B) $520,000.
• C) $1,020,000.
• D) $632,596.

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