The Green Company processes unprocessed goat milk up to the split-off point where two products,condensed goat milk and skim goat milk result.The following information was collected for the month of October:

The costs of purchasing the of unprocessed goat milk and processing it up to the split-off point to yield a total of 105,000 gallons of saleable product was $191,480.There were no inventory balances of either product.Condensed goat milk may be processed further to yield 45,000 gallons (the remainder is shrinkage)of a medicinal milk product,Xyla,for an additional processing cost of $5 per usable gallon.Xyla can be sold for $20 per gallon.
Skim goat milk can be processed further to yield 58,200 gallons of skim goat ice cream,for an additional processing cost per usable gallon of $5.The product can be sold for $12 per gallon.
There are no beginning and ending inventory balances.
Using the sales value at split-off method,what is the gross-margin percentage for skim goat milk at the split-off point? (Round intermediary percentages to the nearest hundredth. )
A)46.25%
B)50.00%
C)56.75%
D)53.75%

Calamata Corporation Processes a Single Material into Three Separate Products

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