Which among the following is not affected by further process

Which among the following is not affected by further processing a product? Select one: a. Price per unit b. Cots per unit Incorrect c. Sales in units d. Amount of sales e. Variable cost

Solution

Answer

C) Sales in Units

The total sales values of the products which are smaller as comparison to the sales value of the joint products are classified as by-products. By –products are created by further processing a product. Price per unit doesn’t remain same with the further processing of a product. Therefore it is affected by further processing a product. Cost per unit and variable cost doesn’t remain same with the further processing of a product. It is added in the further processing cost to determine the total cost of the product .Therefore it is affected by further processing a product.

Sales in units are not affected by further processing a product. It only affects the price and cost.