Use the Following Information for Questions
Paul Bunyon Lumber

question 116

Multiple Choice

Use the following information for questions
Paul Bunyon Lumber Co. produces several products that can be sold at the split-off point or processed further and then sold. The following results are from a recent period: $\begin{array}{lrrr}& \text { Sales Value } & \text { Additional } & \text { Sales Value after } \\\text { Product } & \text { at Split-off } & \text { Variable Costs } & \text { FurtherProcessing }\\\text { Green lumber } & \$ 159,600 & \$ 24,000 & \$ 178,000 \\\text { Rough lumber } & 124,000 & 28,200 & 173,600 \\\text { Sawdust } & 102,000 & 19,600 & 130,000\end{array}$
-What is the increase in profit if the appropriate products are processed further?

• A) $24,200
• B) $29,800
• C) $96,000
• D) $255,800

Recognize the application of psychological theories to real-life situations.

Identify the role of genetics and environment in individual differences.

Comprehend the methods used in psychology to study internal mental processes.

Understand the significance of cultural and social influences on behavior.

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Definitions:

Tenant-Days

A metric that represents the total number of days that all units in a property were occupied over a specific period.

Revenue Variance

The difference between actual revenue and budgeted or expected revenue.

Tenant-Days

A metric used in real estate or hospitality to measure the total number of days all units are rented out over a specific period.

Spending Variance

The difference between the actual amount spent on a particular expense category and the budgeted or planned amount for that category.