If Two or More Products Share a Common Process Before

Multiple Choice

If two or more products share a common process before they are separated, the joint costs should be allocated in a manner that:

A) Assigns a proportionate amount of the total cost to each product by means of a quantitative basis.
B) Maximizes total earnings.
C) Minimizes variations in a unit of production cost.
D) Does not introduce an element of estimation into the process of accumulating costs for each product.