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Save Heavenly Chocolate processes cocoa beans into cocoa powder at a processing cost of $ 9 , 9 0 0 per batch. Heavenly Chocolate can
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Heavenly Chocolate processes cocoa beans into cocoa powder at a processing cost of $ per batch. Heavenly Chocolate can sell the cocoa powder as is or it can process the cocoa powder further into either chocolate syrup or boxed assorted chocolates. Once processed, each batch of cocoa beans would result in the following sales revenue:
Click the icon to view the sales revenue amounts and additional information.
Has the president made the right or wrong decision? Explain your answer. Be sure to include the correct financial analysis in your response.
Begin by completing the following incremental analysis to compare selling the cocoa powder as is with processing it further. For amounts with a value of $ make sure to enter in the appropriate input box.
tabletableSell as CocoaPowdertableSell asChocolateSyruptableSell as BoxedAssortedChocolatesRevenueLess: Additional processing costsNet benefit,,,
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