Solved

Use the Following Information for Questions
Paul Bunyon Lumber

Question 123

Multiple Choice

Use the following information for questions
Paul Bunyon Lumber Co. produces several products that can be sold at the split-off point or processed further and then sold. The following results are from a recent period:  Sales Value  Additional  Sales Value after  Product  at Split-off  Variable Costs  FurtherProcessing  Green lumber $159,600$24,000$178,000 Rough lumber 124,00028,200173,600 Sawdust 102,00019,600130,000\begin{array}{lrrr}& \text { Sales Value } & \text { Additional } & \text { Sales Value after } \\\text { Product } & \text { at Split-off } & \text { Variable Costs } & \text { FurtherProcessing }\\\text { Green lumber } & \$ 159,600 & \$ 24,000 & \$ 178,000 \\\text { Rough lumber } & 124,000 & 28,200 & 173,600 \\\text { Sawdust } & 102,000 & 19,600 & 130,000\end{array}
-Which products should be processed further?


A) Green lumber and rough lumber
B) Green lumber and sawdust
C) Rough lumber and sawdust
D) All three products

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions