What gross profit margin that will appear in a product line

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Great Sweets Candy Company produces various types of candies. Several candies could be sold at the split-off point or processed further and sold in a different form after further processing. The candies are produced in a joint processing operation with $500,000 of joint processing costs monthly, which are allocated based on pounds produced.

Question 1: If Chocolate Delight is processed further, the gross profit margin that will appear in a product line income statement for Chocolate Delight would be:

Select one:

a. $1,020,000.

b. $734,286.

c. $632,596.

d. $520,000.

Reference no: EM132562654

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