Anchorage Company Manufactures Three Main Products,L,M,and N,from a Joint Process

Multiple Choice

Anchorage Company manufactures three main products,L,M,and N,from a joint process.Additional information for June production activity follows: Assuming that the 10,000 units of N were processed further and sold for $78,000,what was Anchorage's gross profit from this sale? Assume the physical quantities method of allocation is used.

A) $21,000.
B) $28,500.
C) $30,000.
D) $66,000.