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It costs Camp, Inc. $65 per unit to manufacture 1,000 units per month of a product that it can sell for $103 each. Alternatively, Camp
It costs Camp, Inc. $65 per unit to manufacture 1,000 units per month of a product that it can sell for $103 each. Alternatively, Camp could process the units further into a more complex product, which would cost an additional $62 per unit. Camp could sell the more complex product for $159 each. How would processing the product further affect Camp's profit?
A) Profit would increase by $6,000.
B) Profit would increase by $56,000.
C) Profit would decrease by $6,000.
D) Profit would decrease by $56,000.
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