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In a Sell or Process Further Decision

Question 46

Multiple Choice

In a sell or process further decision,


A) management should process further as long as the incremental revenues from additional processing are greater than the incremental costs.
B) the basic decision rule is: process further if the total processing costs exceeds the incremental revenue.
C) it is better to process further rather than sell now if the sales price increases.
D) the allocation of joint product costs is important and relevant.

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