Joint Product and By-Product Costing
Q1: What is a joint process, and what is the difference between a by-product and a main product?
Q2: How are joint costs allocated?
Q3: What factors are considered in choosing a joint cost allocation method?
Q4: What information is relevant for deciding whether to process a joint product beyond the split-off point?
Q5: What methods are used to account for the sale of by- products?
Q6: How does a sales mix affect joint cost allocation?
Q7: How do joint cost allocations affect decisions and managerial incentives?
What factors are considered in choosing a joint cost allocation method? What information is relevant for deciding whether to process a joint product beyond the split-off point?
