Elizabeth pharmaceutical produces several medicines

Assignment Help Accounting Basics

Reference no: EM13688096

Elizabeth Pharmaceutical produces several medicines. Each compound can be sold at the split-off point or processed further. The following results apply to March:

Medicines Sales Value at Split-off Point Costs of Additional Processing Sales Value After Additional Processing
Savior I $19,000 $5,300 $26,000
Savior II 23,500 10,500 33,000
Savior III 16,000 9,500 25,000

After determining which products should be sold at the split-off point and which should be processed further, the total revenue provided by these three products would be

$84,000.

$58,500.

$77,000.

$65,500.

Reference no: EM13688096

Questions Cloud

What is meant by budget variance : What is meant by budget variance?

Explain what is meant by naïve diversification : Determine the expected return and standard deviation of returns for a portfolio of 90 securities and explain what is meant by naïve diversification

Determine net present value of the investment : The added production would require an increase in working capital in the form of stocks, valued at cost, of £300,000. The tax rate is 20 per cent and the required rate of return is 18 percent. Determine the net present value of the investment, sp..

List the hardware requirements for an information system : List the hardware requirements for an information system.

Elizabeth pharmaceutical produces several medicines : Elizabeth Pharmaceutical produces several medicines.

Determine the prospective price-earnings ratio : Provide an estimate of the value of the company, indicating the proportion of the value accounted for by the company's growth prospects and determine the prospective price-earnings ratio of the company and comment on its anticipated change in value..

Calculate the issue price of the bonds : Calculate the issue price of the bonds?

Analyse the two payment possibilities : The financial advisors of RBM suggests that the cost of funds to evaluate the proposals is eight per cent. Analyse the two payment possibilities and determine which one you would accept as a manager of RBM.

45-day note of harold stone. : 45-day note of Harold Stone.

User Account

All Pages