Question: processes cocoa beans into cocoa powder at a processing cost of $10,100 per batch. Dessert Delight can sell the cocoa powder as is, or it

processes cocoa beans into cocoa powder at a processing cost of

$10,100

per batch.

Dessert Delight

can sell the cocoa powder as is, or it can process the cocoa powder further into either chocolate syrup or boxed assorted chocolates. Once processed, each batch of cocoa beans would result in the following sales revenue:

(Click the icon to view the sales revenue amounts and additional information.)

Has the president made the right or wrong decision? Explain your answer. Be sure to include the correct financial analysis in your response.

Begin by completing the following incremental analysis to compare selling the cocoa powder as is with processing it further. (For amounts with a value of $0, make sure to enter "0" in the appropriate input box.)

	Sell as Cocoa Powder	Sell as Chocolate Syrup	Sell as Boxed Assorted Chocolates
Revenue
Less: Additional processing costs
Net benefit

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