Question: Cullumber Minerals processes materials extracted from mines. The most common raw material that it processes results in three joint products: Spock, Uhura, and Sulu. Each
Cullumber 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 $180,400 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.
| Sales Value at Split-Off Point | Allocated Joint Costs | Cost to Process Further | Sales Value of Processed Product | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Spock | $209,700 | $40,600 | $109,100 | $299,500 | ||||||||||
| Uhura | 301,000 | 59,500 | 85,800 | 399,700 | ||||||||||
| Sulu | 454,300 | 80,300 | 249,800 | 799,300 | ||||||||||
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).)
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