Usually, the companies in the food processing and natural resource industries face this business decision. Considerations while selling the product as is or process it further has to consider few points:- • Revenue earned if the company sells the product as is. • Revenue earned if the company sells the product after processing it further. • Cost of processing the product further. Process further should be employed when the incremental revenue from processing exceeds the incremental processing costs. To Explain: Whether the decision to make boxed assorted chocolates due to their high sales value right or wrong with the help of correct financial analysis

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Chapter 25, Problem S25.8SE

To determine

Concept Introduction:

Usually, the companies in the food processing and natural resource industries face this business decision.

Considerations while selling the product as is or process it further has to consider few points:-

• Revenue earned if the company sells the product as is.

• Revenue earned if the company sells the product after processing it further.

• Cost of processing the product further.

Process further should be employed when the incremental revenue from processing exceeds the incremental processing costs.

To Explain:

Whether the decision to make boxed assorted chocolates due to their high sales value right or wrong with the help of correct financial analysis

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