Walton, Inc

Multiple Choice

Walton, Inc.is unsure of whether to sell its product assembled or unassembled.The unit cost of the unassembled product is $16, while the cost of assembling each unit is estimated at $17.Unassembled units can be sold for $55, while assembled units could be sold for $71 per unit.What decision should Walton make?

A) Sell before assembly; the company will save $1 per unit.
B) Sell before assembly; the company will save $15 per unit.
C) Process further; the company will save $1 per unit.
D) Process further; the company will save $16 per unit.