Product costs incurred before the split-off point in a joint processing environment are termed:
A)separable processing costs.
B)joint product costs.
C)non-relevant costs.
D)scrap costs.
E)spoilage costs.

Question

Quizplus · Accepted Answer

Joint product costs are the costs incurred before the split-off point in a joint processing environment. These costs are common to all products produced up to that point.

Product Costs Incurred Before the Split-Off Point in a Joint