WP Corporation produces products X, Y, and Z from a single raw material input in a joint production process. Budgeted data for the month is as follows: A) B) D) Units produced Per unit sales value at split-off Added processing costs per unit Per unit sales value if processed further The cost of the joint raw material input is $85,000. Which of the products should be processed beyond the split-off point? Product X yes yes no ΠΟ Product Y yes no yes yes Product X 2,200 $ 17.00 $ 1.00 $25.00 Product Z no yes no yes Product Y 2,700 $23.00 $ 3.00 $25.00 Product Z 3,700 $ 22.00 $ 3.00 $30.00
WP Corporation produces products X, Y, and Z from a single raw material input in a joint production process. Budgeted data for the month is as follows: A) B) D) Units produced Per unit sales value at split-off Added processing costs per unit Per unit sales value if processed further The cost of the joint raw material input is $85,000. Which of the products should be processed beyond the split-off point? Product X yes yes no ΠΟ Product Y yes no yes yes Product X 2,200 $ 17.00 $ 1.00 $25.00 Product Z no yes no yes Product Y 2,700 $23.00 $ 3.00 $25.00 Product Z 3,700 $ 22.00 $ 3.00 $30.00
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question

Transcribed Image Text:Multiple Choice
O
Choice A
Choice B
Choice C
Choice D

Transcribed Image Text:WP Corporation produces products X, Y, and Z from a single raw material input in a joint production process. Budgeted data for the next
month is as follows:
2306
A)
Units produced
Per unit sales value at split-off
Added processing costs per unit
Per unit sales value if processed further
The cost of the joint raw material input is $85,000. Which of the products should be processed beyond the split-off point?
Product X
yes
yes
ΠΟ
no
Product Y
yes
no
yes
yes
Product Z
no
Product X
2,200
$ 17.00
$ 1.00
$ 25.00
yes
no
yes
Product Y
2,700
$23.00
$ 3.00
$25.00
Product Z
3,700
$ 22.00
$ 3.00
$ 30.00
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