Sohr Corporation Processes Sugar Beets That It Purchases from Farmers

question 63

Multiple Choice

Sohr Corporation processes sugar beets that it purchases from farmers. Sugar beets are processed in batches. A batch of sugar beets costs $50 to buy from farmers and $15 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 $20 or processed further for $19 to make the end product industrial fiber that is sold for $58. The beet juice can be sold as is for $41 or processed further for $23 to make the end product refined sugar that is sold for $58.
-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)$(107)
• B)$(4)
• C)$9
• D)$13

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Definitions:

More Effective

Being better than others in producing the desired result or achieving the intended purpose.

Broad Coalition

A wide-ranging alliance among diverse groups or entities, often formed to achieve a common objective or to address a significant issue.

Implementing Change

The process whereby new methods, practices, or innovations are put into place within an organization or system.

Cumulative Effects

The overall impact of multiple factors or actions, considered collectively rather than individually.