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Stars Manufacturing Company produces Products A1, B2, C3, and D4 through a joint process. The joint costs amount to $200,000. Product If Processed Further
Stars Manufacturing Company produces Products A1, B2, C3, and D4 through a joint process. The joint costs amount to $200,000. Product If Processed Further Units Sales Value Additional Sales Produced at Split-Off Costs Value 3,000 $10,000 $2,500 $15,000 A1 B2 5,000 30,000 3,000 35,000 C3 D4 4,000 20,000 4,000 25,000 6,000 40,000 6,000 45,000 If Product B2 is processed further, profits will increase (decrease) by how much? Report gains as a positive number. Report losses as a negative number (with a minus sign).
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