Net Realizable Value Method, Decision to Sell at Split$-$off or Process Further

ins, $$102,000$; outs, $$465,000.$ Ins sell for $$8\mathrm{.}00$ per unit; outs sell for $$15\mathrm{.}00$ per unit.

Required:

Allocate the $$60,000$ joint costs using the estimated net realizable value method.

Allocated Joint Cost

Suppose that ins could be sold at the split$-$off point for $$7\mathrm{.}00$ per unit. Should Arvin sell ins at split$-$off or process them further?

In:

be processed further as there will be $

profit if sold at split$-$off.