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Nesmith Corporation is considering two alternatives: A and B. Costs associated with the alternatives are listed below: Alternative A Alternative B Materials costs $27,000 $62,000
Nesmith Corporation is considering two alternatives: A and B. Costs associated with the alternatives are listed below:
Alternative A | Alternative B | |
Materials costs | $27,000 | $62,000 |
Processing costs | $33,000 | $33,000 |
Equipment rental | $10,800 | $28,400 |
Occupancy costs | $19,400 | $27,400 |
|
What is the differential cost of Alternative B over Alternative A, including all of the relevant costs?
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