3. Product X-47 is one of the joint products in a joint manufacturing process. Management is studying
whether to sell X-47 at the split-off point or to process X-47 further into Xylene. The following data have been gathered: Selling price of X-47 I. Variable cost of processing X-47 into Xylene. II. The avoidable fixed costs of processing X-47 into Xylene. III. The selling price of Xylene. IV. The joint cost of the process from which X-47 is produced. Which of the above items are relevant in a decision of whether to sell the X-47 as is or process it further into Xylene? A) I, II, and IV. B) I, II, III, and IV. C) II, III, and V. D) I, II, III, and V.
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