Chapter 12: Applying Excel: Exercise (Part 2 of 2) 2. In industries that process joint products, the costs of the raw materials inputs and the sales values of intermediate and final products are often volatile. Change the data area of your worksheet to match the following: Chapter 12: Applying Excel 3 4 200,000 40,000 Data Exhibit 12-7 Santa Maria Wool Cooperative Cost of wool Cost of separation process Sales value of intermediate products at split-off point: Undyed coarse wool Undyed fine wool Undyed superfine wool Costs of further processing (dyeing) intermediate products: Undyed coarse wool $ $ $ 125,000 148,000 58,000 Undved fine wool $ $ $ 50,000 60,000 10,000 15 16 17 18 Undyed superfine wool Sales value of end products: Dyed coarse wool Dyed fine wool Dyed superfine wool $ $ $ 146,000 193,000 85,000 If your formulas are correct, you should get the correct answers to the following questions. a. What is the overall profit if all intermediate products are processed into final products? Overall profit from processing all intermediate products b. What is the financial advantage (disadvantage) from further processing? from further processing undyed coarse wool from further processing undyed fine wool from further processing undyed superfine wool Required information C-1. With these new costs and selling prices, what recommendations would you make concerning the company's operations? Sell as is or process further the intermediate product undyed coarse wool? Sell as is or process further the intermediate product undyed fine wool? Sell as is or process further the intermediate product undyed superfine wool? c-2. If your recommendation in part (C-1) is followed, what would be the company's overall profit? Overall profit from following the plan in part (c)