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Pine Street Inc. makes unfinished bookcases that it sells for $57. Production costs are $37 variable and $10 fixed. Because it has unused capacity, Pine

Pine Street Inc. makes unfinished bookcases that it sells for $57. Production costs are $37 variable and $10 fixed. Because it has unused capacity, Pine Street is considering finishing the bookcases and selling them for $70. Variable finishing costs are expected to be $6 per unit with no increase in fixed costs. Create an analysis on a per unit basis showing whether Pine Street should sell unfinished or finished bookcases. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

SellProcess

FurtherNet Income

Increase (Decrease)Sales price per unit$enter the sales price per unit in dollars

$enter the sales price per unit in dollars

$enter the sales price per unit in dollars

Cost per unitVariableenter the variable cost per unit in dollars

enter the variable cost per unit in dollars

enter the variable cost per unit in dollars

Fixedenter the fixed cost per unit in dollars

enter the fixed cost per unit in dollars

enter the fixed cost per unit in dollars

Totalenter a subtotal of the two previous amounts

enter a subtotal of the two previous amounts

enter a subtotal of the two previous amounts

Net income per unit$enter net income per unit in dollars

$enter net income per unit in dollars

$enter net income per unit in dollars

The bookcases select an option

should be processed furthershould be sold without further processing

.

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