Question: 3 (Modules 7,8) Saved Help Save & Exit Submit Dowchow Corporation makes two products from a common input. Joint processing costs up to the split-off

 3 (Modules 7,8) Saved Help Save & Exit Submit Dowchow Corporation

3 (Modules 7,8) Saved Help Save & Exit Submit Dowchow Corporation makes two products from a common input. Joint processing costs up to the split-off point total $38,400 a year. The company allocates these costs to the joint products on the basis 3 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: Product X Product Y Total Allocated joint processing costs $20,800 $17,600 $38,400 Sales value at split-off point $26.000 $22,000 $48,000 Costs of further processing $18,600 $20,400 $39,000 1:51:44 Sales value after further processing $45,000 $45,900 $90,900 What is the net monetary value of processing Product X beyond the split-off point? Multiple Choice O $3,500

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