Marcus Company gathered the following data about the three products that it produces:
Product Present Estimated Additional Estimated Sales
Sales Value Processing Costs if Processed Further
A $12,000 $8,000 $21,000
B 14,000 5,000 18,000
C 11,000 3,000 16,000
Which of the products should not be processed further?
a) Products A and C
b) Product B
c) Product C
d) Product A
Answer: b) Product B
You might also like to view...
A niche specialist that specializes in one type of customer, like a value-added reseller that customizes computer hardware and software for a specific customer segment and earns a price premium in the process, is a(n) ________ specialist
A) geographic B) quality-price C) product-feature D) end-user E) channel
The going-rate pricing approach is usually employed in industries dominated by a few major
players. Indicate whether the statement is true or false