Reference no: EM132637293

HASF Corporation manufactures products A, B, and C from a joint process. Joint costs are allocated on the basis of relative sales value at the end of the joint process. Additional information for HASF are as follows:

                                                              A                     B                   C               Total

Units produced                                       12,000          8,000          4,000          24,000

Joint costs                                              144,000        60,000        36,000       240,000

Sales value before additional processing         240,000      100,000          60,000     400,000

Additional costs for further processing             28,000        20,000        12,000        60,000

Sales value if processed further                     280,000       120,000         70,000    470,000

Required:

Question 1: Which, if any, of products A, B, and C should be processed further and then sold?

Question 2: Keeping in view the answer of "part a", write down your critical feedback to support your answer