Xander Incurs Costs of $20,000 for Direct Materials, $15,000 for Direct

Xander incurs costs of $20,000 for direct materials, $15,000 for direct labor, and $10,000 for manufacturing overhead. The costs incurred resulted in a single process that resulted in two products, Bugs, and Rugs. Bugs can be sold at split-off for $60,000 or be processed further at a cost of $15,000. The new product, Dubs, can be sold for $105,000. How much are Xander's joint costs?

A) $30,000.
B) $35,000.
C) $45,000.
D) $60,000.