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Check my we Exercise 10-3 Sell or process further LO P2 points Cobe Company has already...

Question:

Check my we Exercise 10-3 Sell or process further LO P2 points Cobe Company has already manufactured 18,000 units of Product

Check my we Exercise 10-3 Sell or process further LO P2 points Cobe Company has already manufactured 18,000 units of Product A at a cost of $30 per unit. The 18,000 units can be sold at this stage for $420,000. Alternatively, the units can be further processed at a $210,000 total additional cost and be converted into 5,800 units of Product B and 11,100 units of Product C. Per unit selling price for Product B is $107 and for Product C is $52. eBook 1. Prepare an analysis that shows whether the 18,000 units of Product A should be processed further or not? Hint Print Sell as is Process Further $ 420,000 Sales References Relevant costs: Costs to process further Total relevant costs Income (loss) Incremental net income (or loss) if processed further The company should

Answers

А BC 1 Sell as is Process Further 2 Sales $ 420,000 $ 1,197,800 3 Relevant costs 4 Costs to process further $ 210,000 5 Total

1 C Process Further =+(5800*107)+(11100*52) B Sell as is 2 Sales 420000 3 Relevant costs 4 Costs to process further 5 Total r

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