Sales Value at Split-off Point Cost to Process Further Sales Value After Further

Question

Sales Value
at Split-off
Point

Cost to
Process
Further

Sales Value
After Further
Processing

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AE7-10 Schultz, Inc. produces three separate products from a common process costing $100,300. 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.

Sales Value
at Split-off
Point

Cost to
Process
Further

Sales Value
After Further
Processing

Product 12 $49,820 $100,397 $189,162 Product 14 10,611 30,782 34,362 Product 16 59,121 150,397 220,959

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