Question: Bramble Minerals processes materials extracted from mines. The most common raw material that it processes results in three joint products: Spock, Uhura, and Sulu.
Bramble Minerals processes materials extracted from mines. The most common raw material that it processes results in three joint products: Spock, Uhura, and Sulu. Each of these products can be sold as is, or each can be processed further and sold for a higher price. The company incurs joint costs of $180,000 to process one batch of the raw material that produces the three joint products. The following cost and sales information is available for one batch of each product. Spock Uhura Sulu Sales Value at Split-Off Point Incremental profit (loss) Spock $210,800 299,500 454,900 Uhura Sulu Allocated: Joint Costs Determine the incremental profit or loss that each of the three joint products. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Spock sold as is $39,400 60,400 80,200 # Cost to Process Further $110,400 Indicate whether each of the three joint products should be sold as is, or processed further. process further process further :) 85,100 249,900 Sales Value of Processed Product $299,200 399,600 800,600 Uhura Sulu Joom rey ser en Shot 1.9.37 PM en Shot 19.46 PM
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ANSWER To calculate the incremental profit or loss for each joint product we need to compare the tot... View full answer
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