Cobe Company has already manufactured 19,000 units of Product A at a cost of $20 per unit. The 19,000 units can be sold at this stage for $480,000. Alternatively, the units can be further processed at a $300,000 total additional cost and be converted into 6,000 units of Product B and 11,700 units of Product C. Per unit selling price for Product B is $101 and for Product C is $60. 1. Prepare an analysis that shows whether the 19,000 units of Product A should be processed further or not. Cobe Company has already manufactured 19,000 units of Product A at a cost of $20 per unit. The 19,000 units can be sold at this stage for $480,000. Alternatively, the units can be further processed at a $300,000 total additional cost and be converted into 6,000 units of Product B and 11,700 units of Product C. Per unit selling price for Product B is $101 and for Product C is $60. 1. Prepare an analysis that shows whether the 19,000 units of Product A should be processed further or not.

	Sell as is	Process Further
Sales
Relevant costs:
Costs to process further
Total relevant costs
Income (loss)
Incremental net income (or loss) if processed further
The company should (process further or sell as is)