A company spent $750,000 to produce 225,000 gallons of a chemical free product that can be sold for $6.00 per gallon.This product can be further processed into a household cleaning solution that can be sold for $8.50 per gallon.It will cost $360,000 to process the chemical free product into the household cleaning solution.
Prepare a differential analysis to determine if the product should be processed further.Discuss the results.
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