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Farmer Hannahi has just harvested 30.000 pounds of apples from her orchard for a cost of $12.000. She now has a choice she can either
Farmer Hannahi has just harvested 30.000 pounds of apples from her orchard for a cost of $12.000. She now has a choice she can either sell the apples as is with a selling price of $1 per pound or she can process the apples further into cider. If she chooses to process further she expects to cell the ople cider at $2.50 a pallon 25.000 pounds of apples will make roughly 19,000 gallons of Clder. She will also incur additional processing costs of 31 per ballon What should Hannah do? Process fortser for net realizable vahe of 28,500 O Sell as is for net realizable value of 18,000 Sell as is for net realizable value of 30,000 Process further for net realizable value of 16,500
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