Question: Exercise 21.11 (Static) Joint Processes: Sell or Process Further (LO21-1, LO21-2, LO21-3, LO21-4) BioMorphs Corporation produces three products in a monthly joint production process. During


Exercise 21.11 (Static) Joint Processes: Sell or Process Further (LO21-1, LO21-2, LO21-3, LO21-4) BioMorphs Corporation produces three products in a monthly joint production process. During the first stage of the process liquids and chemicals costing $60,000 are heated and three different compounds emerge: 3,000 gallons of Molecue worth $22 per gallon are created from the steam: 10,000 gallons of Borphue worth $15 are drained from the tank; and 1,000 gallons of the tank residue, labeled as Polygard, are sold as fertilizer for $5.50 per gallon. Before Molecue is sold, it must be purified in another process that costs $10,000, and before the Polygard fertilizer is sold, it must be bottled at a price of $1.50 per gallon a. What is the profitability of the joint process? b. Is it profitable to process Molecue further if it can be sold at split-off for $5 per gallon? c. BioMorphs has an offer to sell Polygard bulk at the split-off point without bottling for $3,500 per month. What is the incremental profit (loss) to BioMorphs if it accepts the offer? Complete this question by entering your answers in the tabs below. Required A Required B Required What is the profitability of the joint process? Total profit $ 150,000 Required > Exercise 21.11 (Static) Joint Processes: Sell or Process Further (LO21-1, LO21-2, LO21-3, LO21-4) Bio Morphs Corporation produces three products in a monthly joint production process. During the first stage of the process liq and chemicals costing $60,000 are heated and three different compounds emerge: 3,000 gallons of Molecue worth $22 per ga are created from the steam: 10,000 gallons of Bophue worth $15 are drained from the tank, and 1,000 gallons of the tank residu labeled as Polygard, are sold as fertilizer for $5.50 per gallon. Before Molecue is sold, it must be purified in another process that $10,000, and before the Polygard fertilizer is sold it must be bottled at a price of $1.50 per gallon a. What is the profitability of the joint process? b. Is it profitable to process Molecue further if it can be sold at split-off for $5 per gallon? c. BioMorphs has an offer to sell Polygard bulk at the split-off point without bottling for $3,500 per month. What is the incremental profit (loss) to BioMorphs if it accepts the offer? Complete this question by entering your answers in the tabs below. Required Rebuired Required Is it profitable to process Molecue further if it can be sold at split-off for $5 per gallon? Is it profitable to process further? NO Exercise 21.11 (Static) Joint Processes: Sell or Process Further (LO21-1, LC BioMorphs Corporation produces three products in a monthly joint production process. During and chemicals costing $60,000 are heated and three different compounds emerge: 3,000 gall are created from the steam; 10,000 gallons of Borphue worth $15 are drained from the tank; an labeled as Polygard, are sold as fertilizer for $5.50 per gallon. Before Molecue is sold, it must b $10,000, and before the Polygard fertilizer is sold, it must be bottled at a price of $1.50 per gallo a. What is the profitability of the joint process? b. Is it profitable to process Molecue further if it can be sold at split-off for $5 per gallon? c. BioMorphs has an offer to sell Polygard bulk at the split-off point without bottling for $3,500 pe profit (loss) to BioMorphs if it accepts the offer? Complete this question by entering your answers in the tabs below. Required A Required B Rquired BloMorphs has an offer to sell Polygard bulk at the split-off point without bottling for $3,500 pe incremental profit (loss) to BioMorphs if it accepts the offer? incremental loss $ 500
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