Arkansas Corporation manufactures liquid chemicals A and B from a joint process. It allocates joint costs on the basis of sales value at split-off. Processing 4,400 gallons of product A and 1,600 gallons of product B to the split-off point costs $5,300. The sales value at split-off is $2.00 per gallon for product A and $22.00 for product B. Product B requires an additional separable process beyond split-off at a cost of $2.90 per gallon before it can be sold.

Required:What is the company's cost to produce 1,600 gallons of product B?