hw_31_32sol

hw_31_32sol - Problem 32 Effect On Profit Incremental...

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Problem 31 Effect On Profit Incremental revenue $7,500 ($2.20-$1.70)*15,000) Incremental costs: Candy pieces (6,300) ($0.42*15000) Rental cost (1,100) Incremental increase in profit if processed further $100 The bloizzard treats should be processed since profit increases by $100.
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Unformatted text preview: Problem 32 Effect On Profit Incremental revenue $2,200 $5,800 - [$1.80*400 sacks*5 l Incremental costs: Flavoring (500) $0.25*2,000 lbs. Incremental increase in profit if flavoring added $1,700 The flavoring should be added since profit increases by $1,700....
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