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How Much (If Any)extra Income Would Morton Earn If It

Question 72

Multiple Choice

How much (if any) extra income would Morton earn if it produced and sold skim milk ice cream from goats rather than goat skim milk? Allocate joint processing costs based upon the relative sales value at the splitoff point.


A) $94,094
B) $234,594
C) $203,300
D) $140,500

Correct Answer:

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