A Company Has Already Incurred $93,000 Cost in Partially Producing

question 93

Essay

A company has already incurred $93,000 cost in partially producing its three products. Their selling prices when partially and fully processed are shown in the table below with the additional costs necessary to finish their processing. Based on this information, should any products be processed further?
$$\begin{array} { | c | c | c | c | } \hline \text { Product } & \begin{array} { c } \text { Unfinished } \\\text { Selling Price }\end{array} & \begin{array} { c } \text { Finished } \\\text { Selling Price }\end{array} & \begin{array} { c } \text { Further } \\\text { Processing } \\\text { Costs }\end{array} \\\hline \text { A } & \$ 31.27 & \$ 62.37 & \$ 33.76 \\\hline \text { B } & \$ 42.56 & \$ 96.11 & \$ 49.82 \\\hline \text { C } & \$ 89.01 & \$ 102.72 & \$ 17.29 \\\hline\end{array}$$

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Definitions:

Generation X

The demographic cohort following the baby boomers, typically defined as individuals born between the early-to-mid 1960s and the early 1980s.

Baby Boomlets

Refers to the smaller surges in birth rates that follow the original post-World War II baby boom.

Sex Discrimination

Unfair treatment or bias against individuals based on their sex, affecting opportunities, rights, and statuses.

Pregnancy Discrimination Act

A U.S. federal law that prohibits discrimination on the basis of pregnancy, childbirth, or related medical conditions in the workplace.