All of the following are relevant in a sell or process-further decision except
A)sales value at the split-off point.
B)sales value after further processing.
C)additional processing costs.
D)joint costs.

Question

Quizplus · Accepted Answer

Joint costs are irrelevant in a sell or process-further decision because they are sunk costs that have already been incurred regardless of the decision taken. The relevant factors to consider are the sales value at the split-off point, the sales value after further processing, and the additional processing costs.

All of the Following Are Relevant in a Sell or Process-Further