When a product is the result of a joint process,the decision to process the product past the splitoff point further should be influenced by the ________.
A) total amount of the joint costs
B) portion of the joint costs allocated to the individual products
C) extra revenue earned past the splitoff point
D) extra operating income earned past the splitoff point

Question

Quizplus · Accepted Answer

The decision to process a product further should be based on the extra operating income earned past the splitoff point, which considers both the additional revenue and the additional costs incurred from further processing.

When a Product Is the Result of a Joint Process,the