Bramble Corp. produces facial moisturizer. Each bottle of moisturizer costs $10 to produce and can be sold for $13. The bottles can be sold as is, or processed further into sunscreen at a cost of $16 each. Bramble Corp. could sell the sunscreen for $25 per bottle. What decision should the company make and why?

Moisturizer should be processed into sunscreen because unit profit increases by $3.

Moisturizer should be processed into sunscreen because its unit profit it $9.

Moisturizer should not be processed into sunscreen because unit profit decreases by $1.

Moisturizer should not be processed into sunscreen because incremental costs exceed incremental revenue.