More info Organicplus sells plain yogurt to hospitals, nursing homes, and restaurants in bulk, one-gallon containers. Each batch, processed at a cost of $830, yields 750 gallons of plain yogurt. Organicplus sells the one-gallon tubs for $6 each, and spends $0.16 for each plastic tub. Organicplus has recently begun to reconsider its strategy. Organicplus wonders if it would be more profitable to sell individual-size portions of fruited organic yogurt at local food stores. Organicplus could further process each batch of plain yogurt into 16,000 individual portions (3/4 cup each) of fruited yogurt. A recent market analysis indicates that demand for the product exists. Organicplus would sell each individual portion for $0.52. Packaging would cost $0.12 per portion, and fruit would cost $0.07 per portion. Fixed costs would not change. Print Done K Organicplus processes organic milk into plain yogurt. (Click the icon to view additional information) Should Organicplus continue to sell only the gallon-size plain yogurt (sell as is) or convert the plain yogurt into individual-size portions of frused yogurt (process further? Why? (Use minus sign or parentheses for amounts that are typically shown enclosed in parentheses in a sell or process further decision) Costs Sell As Is Process Further Difference Expected revenue from selling by the gallon Expected revenue from selling individual portions Additional costs of selling as is by the gallon. Additional costs of processing individual portions Total net revenue Decision Based on this analysis, it is more profitable to sell