item emerging from a single production process that has a relatively low sales value in comparison with the firm's main or joint products. Examples of by-products are sawdust or wood chips in lumber mill operations. Because the relative value of by-products is not very important, it is usually considered undesirable to use a refined accounting method in dealing with by-product costs. Generally, the sales value of by-products is used to reduce the cost of the main products. An alternative accounting approach is to treat the sales value of the by-products as "other revenue."
residue arising at various stages in the production of a principal commodity. The by-products of the meat packing industry, for example, are glue and hair. Certain industries produce toxic byproducts that can become environmental hazards.
merchandise sold by periodical publishers that is incidental to the publication itself, such as back issue binders, calendars, tote bags, and books.
