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Answer-
| STROLLALONG MANUFACTURING | |||||||
| Statement Of Incremental Profit/(loss) | |||||||
| Product | Sale Price per unit at Current point | Sale Price of further processed product | Incremental sale per unit | Incremental revenue | Cost per unit to further process | Incremental costs | Incremental profit/(loss) per unit |
| $ | $ | $ | $ | $ | |||
| (a) | (b) | (c=b-a) | (d) | (e=c*d) | (f) | (g=e-f) | |
| Stoller | $28 per unit | $42 per unit | $14 per unit | 20000 Ib. | 280000 | 400000 | -120000 |
| Walker | $7 per unit | $28 per unit | $21 per unit | 10000 Ib. | 210000 | 144000 | 66000 |
Product Stoller sold at current point and product Walker should be processed further.
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to
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