Walman Corp

Multiple Choice

Walman Corp. manufactures products X, Y, and Z from a joint production process. Joint costs are allocated to products based on relative sales values of the products at the split-off point. Additional information is as follows:Based solely on a relevant cost analysis, which of the three products should be processed by Walman beyond the split-off point?

A) Only X
B) Only Y
C) Only Z
D) Only Y and Z
E) All three products: X, Y and Z