Unprocessed form directly after the split-off point

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Reference no: EM131208186

Two products, IF and RI, emerge from a joint process. Product IF has been allocated $34,300 of the total joint costs of $55,000. A total of 2,900 units of product IF are produced from the joint process. Product IF can be sold at the split-off point for $11 per unit, or it can be processed further for an additional total cost of $10,900 and then sold for $13 per unit. If product IF is processed further and sold, what would be the effect on the overall profit of the company compared with sale in its unprocessed form directly after the split-off point?

$43,000 less profit

$29,200 more profit

$5,100 less profit

$26,800 more profit

Reference no: EM131208186

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Unprocessed form directly after the split-off point : Two products, IF and RI, emerge from a joint process. Product IF has been allocated $34,300 of the total joint costs of $55,000. A total of 2,900 units of product IF are produced from the joint process. If product IF is processed further and sold, wh..

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