Vannorman Corporation Processes Sugar Beets in Batches

question 203

Multiple Choice

Vannorman Corporation processes sugar beets in batches.A batch of sugar beets costs $78 to buy from farmers and $18 to crush in the company's plant.Two intermediate products,beet fiber and beet juice,emerge from the crushing process.The beet fiber can be sold as is for $25 or processed further for $16 to make the end product industrial fiber that is sold for $57.The beet juice can be sold as is for $39 or processed further for $22 to make the end product refined sugar that is sold for $84.How much profit (loss) does the company make by processing one batch of sugar beets into the end products industrial fiber and refined sugar?

• A) $(134)
• B) $(32)
• C) $7
• D) $39

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Definitions:

CSR Reporting

CSR reporting involves the disclosure of information by a company about its efforts and performance in areas related to corporate social responsibility, such as environmental sustainability, social well-being, and ethical conduct.

Greenhouse Gas Emissions

The release of gases, such as carbon dioxide and methane, into the atmosphere, contributing to global warming and climate change.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenue.

Industrial Uses

The utilization of products or materials within industrial processes or in the production of goods, often implying commercial or large-scale applications.