A. ALENBONG Company produces line of different products which comes from the COMMON INPUT in a joint processing operatio

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A Alenbong Company Produces Line Of Different Products Which Comes From The Common Input In A Joint Processing Operatio 1 (64.79 KiB) Viewed 67 times

A. ALENBONG Company produces line of different products which comes from the COMMON INPUT in a joint processing operation. The company incurs joint processing that costs of P200,000 per year up to the split off point. These joint costs are distributed to the three (3) products based on their total sales value at the split off point: P100,000 for product A., P180,000 for product B, and P120,000 for products C. Product A, B, C may be sold at split -off point or may be processed further. Xt costs of further processing the products and their sales value thereafter are shown below: PRODUCT A. B. C. FURTHER PROCESSING COSTS P 70,000 80,000 24,000 SALES VALUE P 160,000 300,000 150,000 REQUIRED: From the above data show your computations which product or products should be sold at the split off point, and which should be processed further