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Process Further Table Stain Remover (TSR) Table Polish (TP) Table Total Production in ounces Revenues Costs Cleaner 291,000 $221,160 291,000 $174,600 291,000 $174,600 349,200 51,750
Process Further Table Stain Remover (TSR) Table Polish (TP) Table Total Production in ounces Revenues Costs Cleaner 291,000 $221,160 291,000 $174,600 291,000 $174,600 349,200 51,750 55,000 106,750 $67,850 69,000 t 51,750 103,500 55,000 110,000 106,750 213,500 $67,850 135,700 CDG costs TCP costs Total costs 69,000 Weekly gross profit $152,160 If table cleaner is not processed further, t is allocated 1/3 of the $207,000 of CDG cost, which is equal to 1/3 of the total physical output. **If table cleaner is processed further, total physical output is 1,164,000 ounces. TSR and TP combined account for 50% of the total physical output and are each allocated 25% of the CDG cost. (a) Your answer is partially correct. Try again 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. Total weekly gross profit (3) Compare the resulting net incomes and comment on management's decision Management made the l wrong decision by choosing to not process table cleaner further
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