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

Question

Quizplus · Accepted Answer

Separable processing costs are the costs incurred on a product after the split-off point in a joint processing environment. These costs are directly attributable to individual products and are incurred to prepare the products for sale.

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