Mickey Company manufactures three joint products: X, Y, and Z. The cost of the joint process is £30,000. Information about the three products follows: Required:
a.
Determine whether each product should be sold at split-off or processed further. Show all supporting calculations in good form.
b.
Determine the firm's income if the firm processed all three products beyond split-off.

Question

Mickey Company manufactures three joint products: X, Y, and Z. The cost of the joint process is £30,000. Information about the three products follows:  Required: 
a.
Determine whether each product should be sold at split-off or processed further. Show all supporting calculations in good form.
b.
Determine the firm's income if the firm processed all three products beyond split-off.

Quizplus · Accepted Answer

The Answer of Mickey Company manufactures three joint products: X, Y, and Z. The cost of the joint process is £30,000. Information about the three products follows:  Required: 
a.
Determine whether each product should be sold at split-off or processed further. Show all supporting calculations in good form.
b.
Determine the firm's income if the firm processed all three products beyond split-off.

Mickey Company Manufactures Three Joint Products: X, Y, and Z