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Helfer Tomato Processors, Inc., processes tomatoes in batches. A batch of tomatoes costs $36 to buy from farmers and $10 to crush in the company's
Helfer Tomato Processors, Inc., processes tomatoes in batches. A batch of tomatoes costs $36 to buy from farmers and $10 to crush in the company's plant. Two intermediate products, tomato fiber and tomato juice, emerge from the crushing process. The tomato fiber can be sold as is for $24 or processed further for $16 to make the end product industrial fiber that is sold for $36. The tomato juice can be sold as is for $44 or processed further for $34 to make the end product refined sugar that is sold for $70. What is the financial advantage (disadvantage) for the company from processing the intermediate product tomato juice into refined sugar rather than selling it as is? O A. ($31) OB. $60 OC($8) OD. $2
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