Eloise Corp. produces an unfinished toy, which currently sells for $60. To produce this unfinished toy, it costs Eloise Corp. $20. Recently, Eloise thought about continuing processing the toy by finishing the toy with a high-gloss varnish and paint. She estimates she could sell the finished toy for $72. In order to finish the toy, it would cost Eloise an additional $15. Required: 1) Create two unit contribution margin statements - one for "Sell As Is" and another for "Process Further" showing the comparable revenues and costs. 2) What should Eloise do? Why?

Eloise Corp. produces an unfinished toy, which currently sells for $60. To produce this unfinished toy, it costs Eloise Corp. \$20. Recently, Eloise thought about continuing processing the toy by finishing the toy with a high-gloss varnish and paint. She estimates she could sell the finished toy for $72. In order to finish the toy, it would cost Eloise an additional \$15. Required: 1) Create two unit contribution margin statements - one for "Sell As Is" and another for "Process Further" showing the comparable revenues and costs. 2) What should Eloise do? Why