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A company has already incurred $7,200 of costs in producing 6,550 units of Product XY. Product XY can be sold as is for $30 per
A company has already incurred $7,200 of costs in producing 6,550 units of Product XY. Product XY can be sold as is for $30 per unit. Instead, the company could incur further processing costs of $8 per unit and sell the resulting product for $35 per unit. Should the company sell Product XY as is or process it further? (Any loss amount should be indicated with minus sign.) Sell as is Process Further Incremental Amount Selling price per unit Additional processing costs per unit Income (loss) The company should
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