Joint Product Cost Definition
Joint Product Cost Definition:
A joint cost may be defined as that cost which arises from the common processing or manufacturing of products produced from a common raw material. Whenever two or more different products are created from a single cost factor, a joint product cost results. A joint cost is incurred prior to the point at which separately identifiable products emerge from the same process.
Other Related Accounting Articles:
- Split-Off Point Definition
- Joint Products Definition
- The Equity Method of Joint Venture Accounting
- Theory of Constraints
- Cost of Quality
- Flow of Costs
- Under-Applied Overhead Definition
- Sell or Process Further Decision Definition
- Over-applied Overhead Definition
- Factor Income
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