In joint-product costing and analysis,which of the following costs is relevant in the decision when a product should be sold to maximize profits?
A)Separable costs after the split-off point
B)Joint costs to the split-off point
C)Sales salaries for the production period
D)Costs of raw materials purchased for the joint process.

Question

Quizplus · Accepted Answer

Only separable costs after the split-off point are relevant in the decision of when to sell a joint product to maximize profits. These costs are the additional costs incurred to convert the joint product into a final product after the split-off point. Joint costs to the split-off point, sales salaries, and raw material costs for the joint process are not relevant in this decision.

In Joint-Product Costing and Analysis,which of the Following Costs Is