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Total purchases (tons) Average purchase price (per ton) Total purchase Price Percentage requiring further processing Cost to treat the metal (per ton) Total cost to

Total purchases (tons) Average purchase price (per ton) Total purchase Price Percentage requiring further processing Cost to treat the metal (per ton) Total cost to treat the metal Total effective cost Effective Cost per ton Chopin Joe Yard Company 1500 1000 Total 2500 $124.00 $120.00 $122.00 $186,000.00 $120,000.00 $305,000.00 7.50% 80 2.00% 80 $2,400.00 $6,000.00 $188,400.00 $126,000.00 $125.60 $126.00 4.20% Total purchase (tons) 1500 1500 Average price per ton $124.00 $120.00 Percent needing further processing 2.00% 7.50% Amount for further processing in tons 30 112.5 Assume all else remains the same. What percentage of metal from Chopin Yards that requires further processing would make Rex Metal Fabricators indifferent between buying from Chopin Yards and Joe Company

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