Coakley Beet Processors,Inc. ,processes sugar beets in batches.A batch of sugar beets costs $48 to buy from farmers and $10 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 $24 or processed further for $16 to make the end product industrial fiber that is sold for $36.The beet juice can be sold as is for $44 or processed further for $28 to make the end product refined sugar that is sold for $70.How much profit (loss) does the company make by processing the intermediate product beet juice into refined sugar rather than selling it as is?
A) $(31)
B) $(60)
C) $(2)
D) $(12)
Correct Answer:
Verified
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