Kirk Minerals processes materials extracted from mines. The most common raw material that it processes results in three joint products: Spock, Uhura, and Sulu. 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 $179,600 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 Split-Off Point Allocated Joint Costs Cost to Process Further Sales Value of Processed Product
Spock $210,800 $40,100 $110,900 $299,600
Uhura 299,100 60,500 85,400 400,400
Sulu 454,300 79,000 250,800 799,900
Determine the incremental profit or loss that each of the three joint products. (Enter negative amounts using either a negative sign preceding the number e. g. -45 or parentheses e. g. (45).)
Spock Uhura Sulu
Incremental profit (loss) $Kirk Minerals processes materials extracted $Kirk Minerals processes materials extracted $Kirk Minerals processes materials extracted
Indicate whether each of the three joint products should be sold as is, or processed further.
Spock Kirk Minerals processes materials extracted sold as isprocess further
Uhura Kirk Minerals processes materials extracted process furthersold as is
Sulu Kirk Minerals processes materials extracted sold as isprocess further