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Business, 15.07.2019 20:10 tawna6988owtjg6

Dorsey company manufactures three products from a common input in a joint processing operation. joint processing costs up to the split-off point total $93,000 per quarter. the company allocates these costs to the joint products on the basis of their relative sales value at the split-off point. unit selling prices and total output at the split-off point are as follows: product selling price quarterly output a $ 3 per pound 16,000 pounds b $ 4 per pound 21,000 pounds c $ 8 per gallon 8,000 gallons each product can be processed further after the split-off point. additional processing requires no special facilities. the additional processing costs (per quarter) and unit selling prices after further processing are given below: product additional processing costs selling price a $ 44,000 $ 5 per pound b $ 35,000 $ 8 per pound c $ 22,000 $ 11 per gallon required: a. compute the incremental profit (loss) for each product.

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