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Dorsey Company manufactures three products from a common input in a joint processing operation. Joint...

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Accounting

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Dorsey Company manufactures three products from a common input in a joint processing operation. Joint processing costs up to the split-off point total $345.000 per quarter. For financial reporting purposes, the company allocates these costs io the joint products or the basis of their relative sales value at the split-off point. Unit selling prices and total output at the spili-off point are as follows: Each product can be processed further after the spilt-off point. Additional processing requires no special faciities. The additional processing costs (per quarter) and unit selling prices after further processing are given below: Required: 1. What is the financlal advantage (disadvantage) of further processing each of the three products beyond the split off point? 2. Based on your analysis in requirement 1, which product or products should be sold at the spilt-off point and which product or products should be processed further

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