Yukon Perfume Corporation manufactures three distinct perfumes (I, II, and III) from a single joint process. The three perfumes can be sold to discount stores in the form they are in at the split-off point. However, if the perfumes are further processed, they can be sold to specialty stores. Costs related to each batch of perfume separation is as follows: For which product(s) above would it be more profitable for Yukon to sell after further processing rather than at the split-off point?
A)I only
B)III only
C)I and II only
D)II and III only
E) I, II, and III

Question

Yukon Perfume Corporation manufactures three distinct perfumes (I, II, and III) from a single joint process. The three perfumes can be sold to discount stores in the form they are in at the split-off point. However, if the perfumes are further processed, they can be sold to specialty stores. Costs related to each batch of perfume separation is as follows:  For which product(s) above would it be more profitable for Yukon to sell after further processing rather than at the split-off point?
A)I only 
B)III only 
C)I and II only 
D)II and III only 
E) I, II, and III

Quizplus · Accepted Answer

The Answer of Yukon Perfume Corporation manufactures three distinct perfumes (I, II, and III) from a single joint process. The three perfumes can be sold to discount stores in the form they are in at the split-off point. However, if the perfumes are further processed, they can be sold to specialty stores. Costs related to each batch of perfume separation is as follows:  For which product(s) above would it be more profitable for Yukon to sell after further processing rather than at the split-off point?
A)I only 
B)III only 
C)I and II only 
D)II and III only 
E) I, II, and III

Yukon Perfume Corporation Manufactures Three Distinct Perfumes (I, II, and III)