  Neutral kaon photoproduction on the deuteron has been investigated by
including the final state effects and compared with the experimental data.
Comparison shows that the models used in this calculation can reproduce the
data in the $\Sigma$ channel regions fairly well but still give over
predictions in the $\Lambda$ channel. It seems that the tensor target
asymmetries are more suitable for studying the final state effects. The
extractions of the elementary photoproduction amplitude are also demonstrated.
