Figure 6-7
Suppose that a concrete manufacturer produces four grades of concrete totaling 500,000 cubic yards as follows at a joint cost of £2,000,000: $$\begin{array} { c c c }
\text { Grade } & \text { Cubic Yards } & \text { Sales Value } \
\text { A } & 75,000 & £ 375,000 \
\text { B } & 200,000 & 1,200,000 \
\text { C } & 100,000 & 700,000 \
\text { D } & 125,000 & 850,000
\end{array}$$
-Refer to Figure 6-7. Grade C can be made into bricks. The final sales value will increase to £900,000. The additional cost to make the bricks is £250,000. Should the concrete be processed into bricks?

Question

Figure 6-7
Suppose that a concrete manufacturer produces four grades of concrete totaling 500,000 cubic yards as follows at a joint cost of £2,000,000: $$\begin{array} { c c c } 
\text { Grade } & \text { Cubic Yards } & \text { Sales Value } \
\text { A } & 75,000 & £ 375,000 \
\text { B } & 200,000 & 1,200,000 \
\text { C } & 100,000 & 700,000 \
\text { D } & 125,000 & 850,000
\end{array}$$
-Refer to Figure 6-7. Grade C can be made into bricks. The final sales value will increase to £900,000. The additional cost to make the bricks is £250,000. Should the concrete be processed into bricks?

Quizplus · Accepted Answer

The Answer of Figure 6-7
Suppose that a concrete manufacturer produces four grades of concrete totaling 500,000 cubic yards as follows at a joint cost of £2,000,000: $$\begin{array} { c c c } 
\text { Grade } & \text { Cubic Yards } & \text { Sales Value } \
\text { A } & 75,000 & £ 375,000 \
\text { B } & 200,000 & 1,200,000 \
\text { C } & 100,000 & 700,000 \
\text { D } & 125,000 & 850,000
\end{array}$$
-Refer to Figure 6-7. Grade C can be made into bricks. The final sales value will increase to £900,000. The additional cost to make the bricks is £250,000. Should the concrete be processed into bricks?

Figure 6-7 Suppose That a Concrete Manufacturer Produces Four Grades

Figure 6-7
Suppose That a Concrete Manufacturer Produces Four Grades