Illion Soy Products (ASP) buys soybeans and processes them into other soy products. Each ton of soybeans that ASP purchases for $340 can be converted for an additional $220 into 625 lbs of soy meal and 180 gallons of soy oil. A pound of soy meal can be sold at splitoff for $1.44 and soy oil can be sold in bulk for $4.5 per gallon.

ASP can process the 625 pounds of soy meal into 725 pounds of soy cookies at an additional cost of $320. Each pound of soy cookies can be sold for $2.44per pound. The 180 gallons of soy oil can be packaged at a cost of $ 260 and made into 720 quarts of Soyola. Each quart of Soyola can be sold for $ 1.45

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Requirements 1. Allocate the joint cost to the cookies and the Soyola using the following: a. Sales value at splitoff method b. NRV method 2. Should ASP have processed each of the products further? What effect does the allocation method have on this decision? Requirements 1. Allocate the joint cost to the cookies and the Soyola using the following: a. Sales value at splitoff method b. NRV method 2. Should ASP have processed each of the products further? What effect does the allocation method have on this decision?