Granger Co

question 97

Multiple Choice

Granger Co.can further process Product B to produce Product C.Product B is currently selling for $55 per pound and costs $42 per pound to produce.Product C would sell for $82 per pound and would require an additional cost of $13 per pound to produce.What is the differential revenue of producing and selling Product C?

• A) $15 per pound
• B) $42 per pound
• C) $45 per pound
• D) $27 per pound

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