Determine whether to sell or process further-joint products.
E7.23(LO 4) Excel Bahrat Inc. produces three separate products from a common process costing $100,000. Each of the products can be sold at the split-off point or can be processed further and then sold for a higher price. The cost and selling price data for a recent period are as follows:
able[[, able[[Sales Value at],[Split-Off Point]], able[[Cost to],[Process Further]], able[[Sales Value after],[Further Processing]]],[Product 12,$50,000,$100,000,$190,000
determined in part (b). further. Instructions Product 16 Product 14 Product 12 Determine whether to sell or process further-joint products. data for a recent period are as follows: b. Determine the total net income if all products are sold after further processing. a. Determine the total net income if all products are sold at the split-off point. 60,000 10,000 $50,000 Split-Off Point Sales Value at Determine whether to sell or process further-- joint products. d. Determine the total net income using the results from part (c) and explain why the net income is different from that c. Using incremental analysis, determine which products should be sold at the split-off point and which should be processed 150,000 30,000 $100,000 Process Further Cost to products can be sold at the split-off point or can be processed further and then sold for a higher price. The cost and selling price 220,000 35,000 $190,000 Further Processing Sales Value after
