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Coco Company has already manufactured (14) 16,000 units of Product A at a cost of $20 per unit. The 16,000 units (1) can be
Coco Company has already manufactured (14) 16,000 units of Product A at a cost of $20 per unit. The 16,000 units (1) can be sold at this stage for $410,000. Alternatively, the units can be further processed at aA(), $230,000 total additional cost and be converted intoB (14) 5,200 units of Product B and 11,300 units of Product C. Per unit selling price for Product B is B$103 and for Product C is C$57. 1. Prepare an analysis that shows whether the 16,000 units of Product A should be processed further or not? ,A()? Sales Relevant costs: Sell as is Process Further Total relevant costs Income (loss) Incremental net income (or loss) if processed further The company should
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