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Legacy Company currently produces three products from a joint process. The joint process has total costs of $1,200,000 per month. All three products, A, B
Legacy Company currently produces three products from a joint process. The joint process has total costs of $1,200,000 per month. All three products, A, B & C, are immediately saleable as they come out of the joint process. Alternatively, any of the products could continue on with additional processing and be sold as a more complete product. The following information is available: Immediate Sales Price Units A 50,000 B 75,000 C100,000 S 5 $ 10 $ 15 Later Sales Price S 10 $ 15 S 17 Unit Cost of Further Processing $ 6 $ 4 $ 3 2-1. Should Product A be sold immediately or sold after processing further? Sell Now Sell Later b-1. Should Product B be sold immediately or sold after processing further Sell Now Sell Later c-1. Should Product C be sold immediately or sold after processing further? Sell Now Sell Later
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