*Problem 7-3A (Video) Thompson Industrial Products Inc. (TIPI) is a diversified industrial-cleaner processing company. The company's Dargan plant produces two products: a table cleaner and a floor cleaner from common set of chemical inputs (CDG). Each week, 945,000 ounces of chemical input are processed at a cost of $213,000 into 630,000 ounces of floor cleaner and 315,000 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 $244,200. Floor Shine sells at $20 per 30-ounce bottle. The table cleaner can be sold for $21 per 25-ounce bottle. However, the table cleaner can be converted into two other products by adding 315,000 ounces of another compound (TCP) to the 315,000 ounces of table cleaner. This joint process will yield 315,000 ounces each of table stain remover (TSR) and table polish (TP). The additional processing costs for this process amount to $102,000. 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. Table Cleaner 315,000 $264,600 Process Further Table Stain Remover Table (TSR) Polish (TP) Total 315,000 315,000 $189,000 $189,000 $378,000 Production in ounces Revenues Costs: CDG costs 71,000 53,250 TCP costs 0 53,250 51,000 104,250 $84,750 106,500 ** 51,000 102,000 104,250 208,500 $84,750 $169,500 costs 71,000 $ 193,600 Weekly gross profit *If table cleaner is not processed further, it is allocated 1/3 of the $213,000 of CDG cost, which is equal to 1/3 of the total physical output. **If table cleaner is processed further, total physical output is 1,260,000 ounces. TSR and TP combined account for 50% of the total physical output and are each allocated 25% of the CDG cost. Determine if management made the correct decision to not process the table cleaner further by doing the following. (1) Calculate the company's total weekly gross profit assuming the table cleaner is not processed further. Total weekly gross profit (2) Calculate the company's total weekly gross profit assuming the table cleaner is processed further