Transcribed Image Text: 3.) Sweet Mandarines processes different types of mandarines. The most common raw material that it processes results in three joint products: Larco,

Academic Writing accounting, business-managerial-accounting Transcribed Image Text: 3.) Sweet Mandarines processes different types of mandarines. The most common raw material that it processes results in three joint products: Larco,

accounting, business-managerial-accounting

Transcribed Image Text: 3.) Sweet Mandarines processes different types of mandarines. The most common raw material that it processes results in three joint products: Larco,

Transcribed Image Text: 3.) Sweet Mandarines processes different types of mandarines. The most common raw
material that it processes results in three joint products: Larco, Marco, and Narco. Each
of these products can be sold as is, or each can be processed further and sold for a higher
price. The company incurs joint costs of $180,000 to process one batch of the raw material
that produces the three joint products. The following cost and sales information is available
for one batch of each product.
Sales Value at
Allocated Joint
Cost to Process
Sales Value of
Split-Off point
Costs
Further
Processed Product
Larco
$200,000
$40,000
$110,000
$330,000
Marco
300,000
60,000
75,000
400,000
Narco
400,000
80,000
250,000
600,000
Determine whether each of the three joint products should be sold as is, or processed
further.

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