Question: A product is produced in three steps, with the variable cost added at each step and the yield at each step as listed below: STep

A product is produced in three steps, with the variable cost added at each step and the yield at each step as listed below: STep variable cost added yield 1 $5.0093%2 $8.0096%3 $10.0097% If the selling price is $50, and there are enough materials and labor to start out to produce 1000 units at Step 1, what is the contribution at current quality levels? Assume units are inspected after each step and defective units are scrapped.(If your answer is not exactly any of the below answers, please choose the answer choice that is closest to your answer) a) $25,326 b) $27,000 c) $23,442 d) $21,936

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