Iacollia company makes two products from a common input

Reference no: EM13612218

Iacollia Company makes two products from a common input. Joint processing costs up to the split-off point total $47,600 a year. The company allocates these costs to the joint products on the basis of their total sales values at the split-off point. Each product may be sold at the split-off point or processed further. Data concerning these products appear below: Product X Product Y Total Allocated joint processing costs $ 23,800 $ 23,800 $ 47,600 Sales value at split-off point $ 33,400 $ 33,400 $ 66,800 Costs of further processing $ 21,400 $ 20,900 $ 42,300 Sales value after further processing $ 53,200 $ 60,900 $ 114,100

Reference no: EM13612218

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