Joint costs that are incurred before the split-off point should be ignored while making a decision to sell or process a product further.

Name: Joint costs that are incurred before the split-off point should be ignored while making a decision to sell or process a product further.
Brand: Quizplus
Rating: 4.8 (28 reviews)

Question

Quizplus · Accepted Answer

Joint costs incurred before split-off point are sunk costs and cannot be changed by any decision made after split-off. Therefore, they should be ignored while making a decision to sell or process a product further.

Joint Costs That Are Incurred Before the Split-Off Point Should