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Ｉｎｔｒｏｄｕｃｔｉｏｎ               Ａ               ｂｙｐｒｏｄｕｃｔ               ｃａｎ               ｂｅ               ｄｅｆｉｎｅｄ               ａｓ               ａ               ｓｅｃｏｎｄａｒｙ               ｐｒｏｄｕｃｔ               ｍａｄｅ               ｄｕｒｉｎｇ               ｔｈｅ               ｍａｎｕｆａｃｔｕｒｅ               ｏｆ               ａｎｏｔｈｅｒ               ｐｒｏｄｕｃｔ. Ｔｈｅ               ｏｒｉｇｉｎａｌ               ｐｒｏｄｕｃｔ               ｉｓ               ｏｆｔｅｎ               ｃａｌｌｅｄ               ｔｈｅ               ｍａｉｎ               ｐｒｏｄｕｃｔ. Ｂｙｐｒｏｄｕｃｔｓ               ａｒｅ               ａｌｓｏ               ｄｅｆｉｎｅｄ               ａｓ               ｂｅｉｎｇ               "ｔｈｅ               ｐｒｏｄｕｃｔｓ               ｏｆ               ａ               ｊｏｉｎｔ               ｐｒｏｄｕｃｔｉｏｎ               ｐｒｏｃｅｓｓ               ｔｈａｔ               ｈａｖｅ               ｌｏｗ               ｔｏｔａｌ               ｓａｌｅｓ               ｖａｌｕｅ               ｗｈｅｎ               ｃｏｍｐａｒｅｄ               ｗｉｔｈ               ｔｈｅ               ｔｏｔａｌ               ｓａｌｅｓ               ｖａｌｕｅ               ｏｆ               ｔｈｅ               ｍａｉｎ               ｐｒｏｄｕｃｔ               ｏｒ               ｏｆ               ｊｏｉｎｔ               ｐｒｏｄｕｃｔｓ"               (Ｈｏｒｎｇｒｅｎ               ｅｔ               ａｌ,               2006,               ｐ. 567). Ｅｘａｍｐｌｅｓ               ｏｆ               ｂｙｐｒｏｄｕｃｔｓ               ｉｎｃｌｕｄｅ               ｏｒａｎｇｅ               ｏｉｌ               ｃｏｌｌｅｃｔｅｄ               ｆｒｏｍ               ｔｈｅ               ｐｅｅｌｓ               ｏｆ               ｐｒｏｃｅｓｓｅｄ               ｏｒａｎｇｅｓ,               ｍｏｌａｓｓｅｓ               ｐｒｏｄｕｃｅｄ               ｄｕｒｉｎｇ               ｔｈｅ               ｐｒｏｃｅｓｓ               ｏｆ               ｒｅｆｉｎｉｎｇ               ｓｕｇａｒ,               ａｎｄ               ａｓｐｈａｌｔ               ｃｒｅａｔｅｄ               ｆｒｏｍ               ｔｈｅ               ｐｒｏｃｅｓｓ               ｏｆ               ｒｅｆｉｎｉｎｇ               ｃｒｕｄｅ               ｏｉｌ               (Ｗｉｋｉｍｅｄｉａ               Ｆｏｕｎｄａｔｉｏｎ,               Ｉｎｃ.,               2006).                Ａｄｖａｎｔａｇｅｓ               ｏｆ               Ｂｙｐｒｏｄｕｃｔ               Ｐｒｏｃｅｓｓｉｎｇ                Ｔｈｅｒｅ               ａｒｅ               ｓｅｖｅｒａｌ               ａｄｖａｎｔａｇｅｓ               ｔｏ               ｂｙｐｒｏｄｕｃｔ               ｐｒｏｃｅｓｓｉｎｇ. Ｏｎｅ               ａｄｖａｎｔａｇｅ               ｉｓ               ｔｈａｔ               ｉｔ               ｃｏｎｖｅｒｔｓ               ｗａｓｔｅ               ｉｎｔｏ               ａ               ｐｒｏｄｕｃｔ               ｔｈａｔ               ｃａｎ               ｂｅ               ｓｏｌｄ. Ｔｈｉｓ               ｃａｎ               ｒｅｓｕｌｔ               ｉｎ               ｉｎｃｒｅａｓｅｄ               ｐｒｏｆｉｔ               ｂｙ               ｇｒｅａｔｌｙ               ｒｅｄｕｃｉｎｇ               ｗａｓｔｅ               ａｎｄ               ｉｎｃｒｅａｓｉｎｇ               ｒｅｖｅｎｕｅ. Ｂｙｐｒｏｄｕｃｔ               ｐｒｏｃｅｓｓｉｎｇ               ｍａｙ               ａｌｓｏ               ｂｅ               ｇｏｏｄ               ｆｏｒ               ｔｈｅ               ｅｎｖｉｒｏｎｍｅｎｔ               ｄｕｅ               ｔｏ               ｔｈｅ               ｃｏｎｖｅｒｓｉｏｎ               ｏｆ               ｓｃｒａｐ               ｉｎｔｏ               ａ               ｕｓｅａｂｌｅ               ｐｒｏｄｕｃｔ. Ｉｎ               ａｄｄｉｔｉｏｎ,               ａｎｙ               ｃｏｓｔｓ               ａｓｓｏｃｉａｔｅｄ               ｗｉｔｈ               ｄｉｓｐｏｓａｌ               ｏｆ               ｔｈｅ               ｗａｓｔｅ               ａｒｅ               ｅｌｉｍｉｎａｔｅｄ               ｗｈｅｎ               ｔｈａｔ               ｗａｓｔｅ               ｉｓ               ｃｏｎｖｅｒｔｅｄ               ｉｎｔｏ               ｔｈｅ               ｂｙｐｒｏｄｕｃｔ.                Ｄｉｓａｄｖａｎｔａｇｅｓ               ｏｆ               Ｂｙｐｒｏｄｕｃｔ               Ｐｒｏｃｅｓｓｉｎｇ                Ｏｎｅ               ｄｉｓａｄｖａｎｔａｇｅ               ｏｆ               ｂｙｐｒｏｄｕｃｔ               ｐｒｏｃｅｓｓｉｎｇ               ｉｓ               ｔｈｅ               ｐｏｔｅｎｔｉａｌ               ｆｏｒ               ｉｎｃｒｅａｓｅｄ               ｃｏｓｔ. Ｔｈｉｓ               ｉｓ               ｂｅｃａｕｓｅ               ｔｈｅ               ｂｙｐｒｏｄｕｃｔ               ｗｉｌｌ               ｍｏｓｔ               ｌｉｋｅｌｙ               ｒｅｑｕｉｒｅ               ａｄｄｉｔｉｏｎａｌ               ｐｒｏｃｅｓｓｉｎｇ               ａｆｔｅｒ               ｉｔ               ｈａｓ               ｂｅｅｎ               ｒｅｍｏｖｅｄ               ｆｒｏｍ               ｔｈｅ               ｍａｉｎ               ｐｒｏｄｕｃｔ. Ａｄｄｉｔｉｏｎａｌｌｙ,               ｂｙｐｒｏｄｕｃｔ               ｐｒｏｃｅｓｓｉｎｇ               "ｃａｎ               ａｆｆｅｃｔ               ｔｈｅ               ａｌｌｏｃａｔｉｏｎ               ｏｆ               ｊｏｉｎｔ               ｃｏｓｔｓ"               (Ｈｏｒｎｇｒｅｎ               ｅｔ               ａｌ,               2006,               ｐ. 577). Ｈｏｗｅｖｅｒ,               "ｂｙ-ｐｒｏｄｕｃｔ               ｃｏｓｔ               ｉｓ               ｃｏｍｍｏｎｌｙ               ｒｅｇａｒｄｅｄ               ａｓ               ｄｉｆｆｉｃｕｌｔ               ｔｏ               ｄｅｔｅｒｍｉｎｅ"               (Ｓｌａｔｅｒ               &               Ｗｏｏｔｔｅｎ,               ｎ.ｄ.).                Ｂｙｐｒｏｄｕｃｔ               Ａｃｃｏｕｎｔｉｎｇ               Ｍｅｔｈｏｄｓ                Ｔｈｅｒｅ               ａｒｅ               ｔｗｏ               ｃｈｉｅｆ               ｍｅｔｈｏｄｓ               ｏｆ               ａｃｃｏｕｎｔｉｎｇ               ｆｏｒ               ｂｙｐｒｏｄｕｃｔｓ. Ｔｈｅｓｅ               ｍｅｔｈｏｄｓ               ａｒｅ               ｔｈｅ               ｓａｌｅｓ               ｍｅｔｈｏｄ               ａｎｄ               ｔｈｅ               ｐｒｏｄｕｃｔｉｏｎ               ｍｅｔｈｏｄ. Ｔｈｅ               ｓａｌｅｓ               ｍｅｔｈｏｄ               ｒｅｃｏｇｎｉｚｅｓ               ｔｈｅ               ｂｙｐｒｏｄｕｃｔ               ｉｎ               ｔｈｅ               ｉｎｃｏｍｅ               ｓｔａｔｅｍｅｎｔ               ａｔ               ｔｈｅ               ｔｉｍｅ               ｏｆ               ｓａｌｅ. Ｔｈｉｓ               ｍｅｔｈｏｄ               ｉｓ               ｍｏｓｔ               ｃｏｍｍｏｎｌｙ               ｕｓｅｄ               ｉｎ               ｐｒａｃｔｉｃｅ               ｄｕｅ               ｔｏ               ｉｔｓ               ｓｉｍｐｌｉｃｉｔｙ. Ｔｈｅ               ｐｒｏｄｕｃｔｉｏｎ               ｍｅｔｈｏｄ               "ｒｅｃｏｇｎｉｚｅｓ               ｔｈｅ               ｂｙｐｒｏｄｕｃｔ               ｉｎ               ｔｈｅ               ｆｉｎａｎｃｉａｌ               ｓｔａｔｅｍｅｎｔｓ...ｉｎ               ｔｈｅ               ｍｏｎｔｈ               ｉｔ               ｉｓ               ｐｒｏｄｕｃｅｄ"               (Ｈｏｒｎｇｒｅｎ               ｅｔ               ａｌ,               2006,               ｐ. 578). Ｔｈｉｓ               ｍｅｔｈｏｄ               ａｌｌｏｃａｔｅｓ               ｃｏｓｔｓ               ｕｓｉｎｇ               ｔｈｅ               ｎｅｔ               ｒｅａｌｉｚａｂｌｅ               ｖａｌｕｅ               ｍｅｔｈｏｄ               ａｎｄ               ｏｆｆｓｅｔｓ               ｔｈｅ               ｃｏｓｔｓ               ａｇａｉｎｓｔ               ｔｈｅ               ｃｏｓｔｓ               ｏｆ               ｔｈｅ               ｍａｉｎ               ｐｒｏｄｕｃｔ. Ｔｈｅ               ｐｒｏｄｕｃｔｉｏｎ               ｍｅｔｈｏｄ               ｉｓ               ｔｈｅ               ｐｒｅｆｅｒｒｅｄ               ｍｅｔｈｏｄ               ｂｅｃａｕｓｅ               ｉｔ               ｃｏｍｐｌｉｅｓ               ｗｉｔｈ               ｔｈｅ               ＧＡＡＰ               ｍａｔｃｈｉｎｇ               ｐｒｉｎｃｉｐｌｅ               ｂｙ               ｍａｔｃｈｉｎｇ               "ｔｈｅ               ｒｅｖｅｎｕｅｓ               ａｎｄ               ｅｘｐｅｎｓｅｓ               ｆｒｏｍ               ｓｅｌｌｉｎｇ               ｔｈｅ               ｍａｉｎ               ｐｒｏｄｕｃｔ"               (Ｈｏｒｎｇｒｅｎ               ｅｔ               ａｌ,               2006,               ｐ. 580).                Ｃｏｎｃｌｕｓｉｏｎ                Ｃｏｍｐａｎｉｅｓ               ｔｈａｔ               ａｒｅ               ｃｏｎｓｉｄｅｒｉｎｇ               ｉｍｐｌｅｍｅｎｔｉｎｇ               ｂｙｐｒｏｄｕｃｔ               ｐｒｏｃｅｓｓｉｎｇ               ｓｈｏｕｌｄ               ｆｉｒｓｔ               ｃｏｍｐａｒｅ               ｔｈｅ               ａｄｖａｎｔａｇｅｓ               ａｎｄ               ｄｉｓａｄｖａｎｔａｇｅｓ               ａｓｓｏｃｉａｔｅｄ               ｗｉｔｈ               ｕｓｉｎｇ               ｔｈｅ               ｐｒｏｄｕｃｔ               ｗａｓｔｅ               ｔｏ               ｍａｎｕｆａｃｔｕｒｅ               ａ               ｎｅｗ,               ａｄｄｉｔｉｏｎａｌ               ｐｒｏｄｕｃｔ. Ａ               ｃｏｓｔ-ｂｅｎｅｆｉｔ               ａｎａｌｙｓｉｓ               ｅｖａｌｕａｔｉｎｇ               ｔｈｅ               ａｄｄｉｔｉｏｎａｌ               ｃｏｓｔｓ               ｖｅｒｓｕｓ               ｐｏｔｅｎｔｉａｌ               ｉｎｃｒｅａｓｅｄ               ｒｅｖｅｎｕｅ               ｗｏｕｌｄ               ａｌｓｏ               ｂｅ               ｈｅｌｐｆｕｌ               ｉｎ               ｍａｋｉｎｇ               ｔｈｉｓ               ｄｅｃｉｓｉｏｎ.                Ｒｅｆｅｒｅｎｃｅｓ                Ｈｏｒｎｇｒｅｎ,               Ｃ. Ｔ.,               Ｄａｔａｒ,               Ｓ. Ｍ.,               &               Ｆｏｓｔｅｒ,               Ｇ. (2006). "Ｃｏｓｔ               Ａｃｃｏｕｎｔｉｎｇ:               Ａ               ｍａｎａｇｅｒｉａｌ               ｅｍｐｈａｓｉｓ."               (12ｔｈ               ｅｄ.). Ｕｐｐｅｒ               Ｓａｄｄｌｅ               Ｒｉｖｅｒ,               ＮＪ:               Ｐｅａｒｓｏｎ               Ｐｒｅｎｔｉｃｅ               Ｈａｌｌ.                Ｓｌａｔｅｒ,               Ｋ. &               Ｗｏｏｔｔｅｎ,               Ｃ. (ｎ.ｄ.)               "Ｍｏｎｏｇｒａｐｈ               ｏｎ               ｊｏｉｎｔ               ａｎｄ               ｂｙ-ｐｒｏｄｕｃｔｓ               ｃｏｓｔｉｎｇ."               Ａｌｌ               Ｉｎｄｉａ               Ｃｏｓｔ               ａｎｄ               ｍａｎａｇｅｍｅｎｔ               Ａｃｃｏｕｎｔａｎｔｓ               Ｓｏｃｉｅｔｙ               ｗｅｂｓｉｔｅ. ＵＲＬ:               ｈｔｔｐ://ｗｗｗ.ａｉｃｍａｓ.ｃｏｍ/ｂｐ.ｄｏｃ.                Ｗｉｋｉｍｅｄｉａ               Ｆｏｕｎｄａｔｉｏｎ,               Ｉｎｃ. (2006). "Ｂｙ-ｐｒｏｄｕｃｔ."               Ｗｉｋｉｐｅｄｉａ               ｗｅｂｓｉｔｅ. ＵＲＬ:               ｈｔｔｐ://ｅｎ.ｗｉｋｉｐｅｄｉａ.ｏｒｇ/ｗｉｋｉ/Ｂｙｐｒｏｄｕｃｔ.

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