Question: Healthy Eats produces three products from a single raw material. The total cost is $160,000 and the number of units for each product are as

Healthy Eats produces three products from a single raw material. The total cost is $160,000 and the

number of units for each product are as follows:

Product A: 10,000 units

Product B: 10,000 units

Product C: 15,000 units

Product A can be sold at the split-off point for $4 per unit, or it can be processed further at a cost of$25,000 and then sold for $10 per unit. Should product A be sold at the split-off point or processed further? Why?

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