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(Prepared from a situation suggested by Professor John W. Hardy) Lone Star Meat Packers is a major processor of beef and other meat products. The company has a large amount of T-bone steak on hand, and it is trying to decide whether to sell the T-bone steaks as they are initially cut or to process them further into filet mignon and the New York cut If the T-bone steaks are sold as initially cut the company figures that a 1-pound T-bone steak would yield the following profit $ 2.30 Selling price (52.30 per pound) Less Joint costs incurred up to the split-off point where T-bone steak can be identified as a separate product Profit per pound 1.50 $ 0.80 If the company were to further process the T-bone steaks, then cutting one side of a T-bone steak provides the filet mignon and cutting the other side provides the New York cut One 16 ounce T-bone steak cut in this way will yield one 6-ounce filet mignon and one 8 ounce New York cut, the remaining ounces are waste. It costs $0.12 to further process one T-bone steak into the filet mignon and New York cuts. The filet mignon can be sold for $4.40 per pound, and the New York cut can be sold for $3.60 per pound Required: 1. What is the financial advantage (disadvantage) of further processing one T-bone steak into filet mignon and New York cut steaks? 2. Would you recommend that the T-bone steaks be sold as initially cut or processed further? Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is the financial advantage (disadvantage) of further processing one T-bone steak into filet mignon and New York cut steaks? (Do not round intermediate calculations. Round your answer to 2 decimal places.) per unit (Prepared from a situation suggested by Professor John W. Hardy) Lone Star Meat Packers is a major processor of beef and other meat products. The company has a large amount of T-bone steak on hand, and it is trying to decide whether to sell the T-bone steaks as they are initially cut or to process them further into filet mignon and the New York cut if the T-bone steaks are sold as initially cut the company figures that a 1 pound T-bone steak would yield the following profit: $ 2.30 Selling price ($2,30 per pound) Less joint costs incurred up to the split off point where T-bone steak can be identified as a separate product Profit per pound 1.50 $ 0.80 If the company were to further process the T-bone steaks then cutting one side of a T-bone steak provides the filet mignon and cutting the other side provides the New York cut One 16 ounce T-bone steak cut in this way will yield one 6-ounce filet mignon and one 8 ounce New York cut the remaining ounces are waste. It costs $0.12 to further process one T-bone steak into the filet mignon and New York cuts. The filet mignon can be sold for $440 per pound, and the New York cut can be sold for $3.60 per pound Required: 1. What is the financial advantage (disadvantage) of further processing one T-bone steak into filet mignon and Now York cut steaks? 2 Would you recommend that the T-bone steaks be sold as initially cut or processed further? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Would you recommend that the t.bone steaks be sold as initially cut or processed further? O bone steaks should be processed further Tibone steaks should be sold as initially cut