The split-off point is:
A) The point at which the product is completed
B) The first point at which the joint products can be separately identified
C) The point at which joint production commences
D) None of the above

Question

Quizplus · Accepted Answer

The split-off point is the point at which the joint products can be separately identified. This point occurs when the products have reached a stage where they can be recognized as separate goods. This is significant in accounting for joint costs, as costs incurred before the split-off point cannot be attributed to any one product and must be allocated among all the joint products. Therefore, option B is the correct choice.

The Split-Off Point Is