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Beware of Unit Costs, Costs Beyond the Split-Off Point Are

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Beware of Unit Costs, Costs Beyond the Split-off Point Are Not Necessarily All Variable
Table 8-12 in the text allocates joint costs using net realizable value as the allocation base. What critical assumptions underlie the analysis in Table 8-12? That is, under what circumstances can the data in this table be used to assess product line profitability?


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