Delite Confectionary Company produces various types of candies.Several candies could be sold at the split-off point or processed further and sold in a different form after further processing.The candies are produced in a joint processing operation with $500,000 of joint processing costs monthly,which are allocated based on pounds produced.Information concerning this process for a recent month appears below:
If Chocolate Delight is processed further,the gross profit margin that will appear in a product line income statement for Chocolate Delight would be:
A) $734,286.
B) $520,000.
C) $1,020,000.
D) $632,596.

Question

Delite Confectionary Company produces various types of candies.Several candies could be sold at the split-off point or processed further and sold in a different form after further processing.The candies are produced in a joint processing operation with $500,000 of joint processing costs monthly,which are allocated based on pounds produced.Information concerning this process for a recent month appears below:
 If Chocolate Delight is processed further,the gross profit margin that will appear in a product line income statement for Chocolate Delight would be:
A) $734,286. 
B) $520,000. 
C) $1,020,000. 
D) $632,596.

Quizplus · Accepted Answer

The Answer of Delite Confectionary Company produces various types of candies.Several candies could be sold at the split-off point or processed further and sold in a different form after further processing.The candies are produced in a joint processing operation with $500,000 of joint processing costs monthly,which are allocated based on pounds produced.Information concerning this process for a recent month appears below:
 If Chocolate Delight is processed further,the gross profit margin that will appear in a product line income statement for Chocolate Delight would be:
A) $734,286. 
B) $520,000. 
C) $1,020,000. 
D) $632,596.

Delite Confectionary Company Produces Various Types of Candies