ACCA MA Syllabus C. Cost Accounting Techniques - Process accounts & by-products / joint products - Notes ^{14 / 17}

When preparing process accounts, joint costs should be treated as ‘normal’ output from a process.

The treatment of by-products in process costing is similar to the treatment of normal loss.

The by-product income is credited to the process account and debited to a by-product account.

To calculate equivalent units in a period, by-products (like normal loss) are zero equivalent units.