E11-20. Processing beyond split off and cost allocations

All-A-Buzz makes three products from a joint production process using honey. Joint cost for the process for the year is $123,200.

Product	Units of Output	Per Unit Selling Price At Split-Off	Incremental Processing Cost	Final Sales Price
Honey butter	10,000	4.00	$3.00	$6.00
Honey jam	20,000	6.40	$4.00	$14.00
Honey syrup	1,000	3.00	$0.40	$3.60

Each container of honey butter, jam, and syrup, respectively, contains 16 ounces, 8 ounces, and 3 ounces of product.

1. Determine which products should be processed beyond the split off point.
2. Assume honey syrup should be treated as a by-product.
3. Allocate the joint cost based on units produced, weight, and sales value at split off. Use the net realizable value approach, assuming by-product revenues reduce joint production costs. (Round proportions to the nearest whole percentage and dollar amounts to the nearest whole dollar.)