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7.75/15 Pharoah Industrial Prducts Inc. is a diversified industrial-cleaner processing company. The company's Dargan plant produces two products: a table cleaner and a floor cleaner from a common set of chemical inputs (CDG). Each week, 877,500 ounces of chemical input are processed at a cost of $212,400 into 585,000 ounces of floor cleaner and 292,500 ounces of table cleaner. The floor cleaner has no market value until it is converted into a polish with the trade name FloorShine. The additional processing costs for this conversion amount to $250,300. Floor Shine sells at $22 per 30-ounce bottle. The table cleaner can be sold for $20 per 25-ounce bottle. However, the table cleaner can be converted into two other products by adding 292,500 ounces of another compound (TCP) to the 292,500 ounces of table cleaner. This joint process will yield 292,500 ounces each of table stain remover (TSR) and table polish (TP). The additional processing costs for this process amount to $101.000. Both table products can be sold for $15 per 25-ounce bottle. The company decided not to process the table cleaner into TSR and TP based on the following analysis. Process Further Table Stain Remover (TSR) Table Cleaner Table Polish (TP) 292,500 Total Production in ounces 292,500 292,500 Revenues $234,000 $175,500 $175,500 $351,000 Costs: CDG costs 70,800 53.100 53,100 106,200 TCP costs 0 50,500 50,500 101.000 Question 3 of 5