Answer:
Product A Product B Product C
Sales value after further processing $494,940 $656,030 $248,820
(14,600*$33.90), (22,700*$28.90),
(5,800*$42.90)
Costs of further processing <u>$91,990</u> <u>$133,305</u> <u>$62,660</u>
Benefits of further processing $402,950 $522,725 $186,160
Less: Sales value at split-off point <u>$408,800</u> <u>$499,400</u> <u>$197,200</u>
(14,600*$28.00), (22,700*$22.00),
(5,800*$34.00)
Net advantage / (Disadvantage) <u>$(5,850)</u> <u>$23,325 </u> <u>$(11,040)</u>
