Information About Three Joint Products Follows The Cost of the Joint Process Is $60,000

Information about three joint products follows: $\begin{array}{lccc}&\underline{A}&\underline{B} &\underline{C}\\\text { Anticipated production } & 5,000 \mathrm{~kg} & 1,000 \mathrm{~kg} & 2,000 \mathrm{~kg} \\\begin{array}{l}\text { Selling price/kg at split-off } \\\text { Additional processing costs/ } \mathrm{kg}\end{array} & \$ 10 & \$ 30 & \$ 16 \\\begin{array}{l}\text { after split-off (all variable) }\end{array}& \$ 6 & \$ 12 & \$ 24 \\\begin{array}{l}\text { Selling price/kg after further } \\\text { processing }\end{array} &\$20&\$40&\$50 \\\end{array}$ The cost of the joint process is $60,000.Which of the joint products should be sold at split-off?

A) joint product A
B) joint product B
C) joint product C
D) both joint product A and joint product B

Correct Answer:

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