Current Attempt in Progress Sunland Inc. produces three separate products from a common process costing $100,100. Each of the products can be sold at the split- off point or can be processed further and then sold for a higher price. Shown below are cost and selling price data for a recent period. Product 10 Product 12 Product 14 (a) Net income $ (c) Your answer is correct. (b) Determine total net income if all products are sold at the split-off point. eTextbook Video Net income $ Sales Value at Split-Off Point $59,700 eTextbook and Medial Product 15,800 Your answer is correct. Product 10 55,400 Your answer is partially correct. Product 12 Product 14 Determine total net income if all products are sold after further processing. $ $ $ 30800 Calculate incremental profit/(loss) and determine which products should be sold at the split-off point and which should be processed further. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Incremental profit (loss) Cost to Process Further $100,100 231400 -50500 30,800 149,700 -269400 59000 Sales Value after Further Processing $191,000 Decision Should be processed further 34,700 214,000 Should be processed further Should be sold at the split-off point Assistance Used Attempts: unlimited
Current Attempt in Progress Sunland Inc. produces three separate products from a common process costing $100,100. Each of the products can be sold at the split- off point or can be processed further and then sold for a higher price. Shown below are cost and selling price data for a recent period. Product 10 Product 12 Product 14 (a) Net income $ (c) Your answer is correct. (b) Determine total net income if all products are sold at the split-off point. eTextbook Video Net income $ Sales Value at Split-Off Point $59,700 eTextbook and Medial Product 15,800 Your answer is correct. Product 10 55,400 Your answer is partially correct. Product 12 Product 14 Determine total net income if all products are sold after further processing. $ $ $ 30800 Calculate incremental profit/(loss) and determine which products should be sold at the split-off point and which should be processed further. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Incremental profit (loss) Cost to Process Further $100,100 231400 -50500 30,800 149,700 -269400 59000 Sales Value after Further Processing $191,000 Decision Should be processed further 34,700 214,000 Should be processed further Should be sold at the split-off point Assistance Used Attempts: unlimited
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Current Attempt in Progress
Sunland Inc. produces three separate products from a common process costing $100,100. Each of the products can be sold at the split-
off point or can be processed further and then sold for a higher price. Shown below are cost and selling price data for a recent period.
Product 10
Product 12
Product 14
(a)
Net income
(c)
Your answer is correct.
(b)
Determine total net income if all products are sold at the split-off point.
$
eTextbook
Video
Net income $
Product
Sales Value
at Split-Off
Point
$59,700
eTextbook and Media
Product 10
15,800
Your answer is correct.
Product 12
55,400
Your answer is partially correct.
Product 14
Determine total net income if all products are sold after further processing.
$
$
$
30800
Calculate incremental profit/(loss) and determine which products should be sold at the split-off point and which should be
processed further. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
Incremental profit (loss)
Cost to
Process
Further
$100,100
231400
-50500
30,800
149,700
-269400
59000
Sales Value
after Further
Processing
$191,000
Decision
Should be processed further
34,700
214,000
Should be processed further
Should be sold at the split-off point
Assistance Used
Attempts: unlimited
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Step 1: Define Further processing decisions
VIEWStep 2: Computation of Net Income If All the products are sold at Split off Point
VIEWStep 3: Computation of Net Income If All the products are sold after Further Processing
VIEWStep 4: Computation of Incremental Profit/loss and taking decision
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