Stinehelfer beet processors, inc., processes sugar beets in batches.
a batch of sugar b...
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Business, 25.12.2019 06:31 ariloveshorses
Stinehelfer beet processors, inc., processes sugar beets in batches.
a batch of sugar beets costs $56 to buy from farmers and $13 to crush in the company's plant.
two intermediate products, beet fiber and beet juice, emerge from the crushing process.
the beet fiber can be sold as is for $24 or processed further for $12 to make the end product industrial fiber that is sold for $31.
the beet juice can be sold as is for $43 or processed further for $29 to make the end product refined sugar that is sold for $91.
what is the financial advantage (disadvantage) for the company from processing the intermediate product beet juice into refined sugar rather than selling it as is?
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