Yasmin Co. can further process Product B to produce Product C. Product B is currently selling for $34 per pound and costs $26 per pound to produce. Product C would sell for $57 per pound and would require an additional cost of $22 per pound to produce. What is the differential cost of producing Product C

Respuesta :

Answer:

Differential cost of producing product C is $22

Explanation:

Total cost of product C = Cost of product B + Additional cost to produce C

= $26 + $22

= $48

Differential Cost = Total cost to produce C - Cost of producing B

= $48 - $26

=   $22

Thus, the differential cost of producing product C is $22