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Wexpro, Inc., produces several products from processing 1 ton of clypton, a rare mineral. Material...

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Accounting

Wexpro, Inc., produces several products from processing 1 ton of clypton, a rare mineral. Material and processing costs total $28,000 per ton, one-fourth of which is allocated to product X15. 7,000 units of product X15 are produced from each ton of clypton. The units can either be sold at the split-off point for $11.00 each, or processed further at a total cost of $10,000 and then sold for $14.67 each. Required: Should product X15 be processed further or sold at the split-off point? rev: 08_18_2014_QC_52475, 08_19_2014_QC_52475 Should be processed further. Should be sold at the split off point.

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