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Kingbird Farms harvests and processes pomegranates into seeds and skin, and further processes the seeds into juice. The joint costs of a typical production run
Kingbird Farms harvests and processes pomegranates into seeds and skin, and further processes the seeds into juice. The joint costs of a typical production run are $18,000, yielding output that is 65% skin and 35% seeds. At this point, the seeds can be sold to other manufacturers for $25,000. When Kingbird Farms processes the seeds into juice, however, the resulting juice is worth $33,000, while the additional cost to turn the seeds into juice is just $3,900. How much better or worse off is Kingbird Farms when it processes the seeds into juice? Kingbird Farms is by $ eTextbook and Media
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