Whiteville Co.can further process Product B to produce Product C.Product B is currently selling for $45 per pound and costs $30 per pound to produce.Product C would sell for $80 per pound and would require an additional cost of $18 per pound to produce.What is the differential cost of producing Product C?
A) $30 per pound
B) $18 per pound
C) $17 per pound
D) $12 per pound

Question

Quizplus · Accepted Answer

The differential cost of producing Product C is the additional cost to produce it compared to producing Product B. This additional cost is given as $18 per pound. Therefore, the answer is B) $18 per pound.