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Dodrill Company Makes Two Products from a Common Input

Question 25

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Dodrill Company makes two products from a common input. Joint processing costs up to the split-off point total $43,200 a year. The company allocates these costs to the joint products on the basis of their total sales values at the split-off point. Each product may be sold at the split-off point or processed further. Data concerning these products appear below:  Dodrill Company makes two products from a common input. Joint processing costs up to the split-off point total $43,200 a year. The company allocates these costs to the joint products on the basis of their total sales values at the split-off point. Each product may be sold at the split-off point or processed further. Data concerning these products appear below:   -What is the net monetary advantage (disadvantage) of processing Product Y beyond the split-off point? A) $(4,200)  B) $21,800 C) $24,400 D) $(1,600)
-What is the net monetary advantage (disadvantage) of processing Product Y beyond the split-off point?


A) $(4,200)
B) $21,800
C) $24,400
D) $(1,600)

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