Joint costs are not relevant to the decision to sell a product at the split-off point or to process the product further.

Name: Joint costs are not relevant to the decision to sell a product at the split-off point or to process the product further.
Brand: Quizplus
Rating: 4.8 (33 reviews)

Question

Quizplus · Accepted Answer

Joint costs are sunk costs that have already been incurred by the time the split-off point is reached, so they do not affect the decision to sell or process further.

Joint Costs Are Not Relevant to the Decision to Sell