Manning Company Uses a Joint Process to Produce Products W

Multiple Choice

Manning Company uses a joint process to produce products W, X, Y, and Z. Each product may be sold at its split-off point or processed further. Additional processing costs of specific products are entirely variable. Joint processing costs for a single batch of joint products are $120,000. Other relevant data are as follows: Which products should Manning process further?

A) All.
B) All except Z.
C) Y and X.
D) None.