Dual energy computed tomography (DE CT) is a promising technology for the assessment of bone compositions. One of potential applications involves evaluations of fracture healing using longitudinal measurements of callus mineralization. However, imaging of fractures is often challenged by the presence of metal fixation hardware. In this work, we report on a new simultaneous DE reconstruction-decomposition algorithm that integrates the previously introduced Model-Based Material Decomposition (MBMD) with a Known-Component (KC) framework to mitigate metal artifacts. The algorithm was applied to the DE data obtained on a dedicated extremity cone-beam CT (CBCT) with capability for weight-bearing imaging. To acquire DE projections in a single gantry rotation, we exploited a unique multisource design of the system, where three X-ray sources were mounted parallel to the axis of rotation. The central source provided high energy (HE) data at 120 kVp, while the two remaining sources were operated at a low energy (LE) of 60 kVp. This novel acquisition trajectory further motivates the use of MBMD to accommodate this complex DE sampling pattern. The algorithm was validated in a simulation study using a digital extremity phantom. The phantom consisted of a water background with an insert containing varying concentrations of calcium (50 - 175 mg/mL). Two configurations of titanium implants were considered: a fixation plate and an intramedullary nail. The accuracy of calcium-water decompositions obtained with the proposed KC-MBMD algorithm was compared to MBMD without metal component model. Metal artifacts were almost completely removed by KC-MBMD. Relative absolute errors of calcium concentration in the vicinity of metal were 6% - 31% for KC-MBMD (depending on the calcium insert and implant configuration), compared favorably to 48% - 273% for MBMD. Moreover, accuracy of concentration estimates for KC-MBMD in the presence of metal implant approached that of MBMD in a configuration without implant (6%-23%). The proposed algorithm achieved accurate DE material decomposition in the presence of metal implants using a non-conventional, axial multisource DE acquisition pattern.