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Legacy Company currently produces three products from a joint process. The joint process has total costs of $300,000 per month. All three products, A, B
Legacy Company currently produces three products from a joint process. The joint process has total costs of $300,000 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: Units A 50,000 B 100,000 C 150,000 Immediate Sales Price $10 $ 8 Later Sales Price $13 $14 $14 Unit Cost of Further Processing $ 7 $ 5 $9 $ 8 a-1. Should Product A be sold immediately or sold after processing further? Sell Now Sell Later a-2. How much will the decision affect profit? Decision affects profit by b-1. Should Product B be sold immediately or sold after processing further? Sell Now Sell Later b-2. How much will the decision affect profit? Decision affects profit by C-1. Should Product C be sold immediately or sold after processing further? Sell Now Sell Later c-2. How much will the decision affect profit? Decision affects profit by
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