Cost allocation joint products and byproducts is a topic of concern for accountants as your textbook noted in the opening vignette-related to Medicare and organ donations and the concepts in action related to chicken processing.First address this question: An individual is experiencing severe neck and shoulder pain that can be treated by a massage therapist (relaxes and realigns muscles) which in turn helps alleviate the pain. The insurance company has an issue in that the procedure also feels goodmany individuals will seek treatment because of the relaxation process. Would you consider this a joint cost allocation problem? Help the insurance company decide how to handle the situation. In addition discuss a product that may have byproducts.

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