Reference no: EM133051284

Questions -

Q1. Underground Food Store has 4,000 pounds of raw beef nearing its expiration date. Each pound has a cost of $4.50. The beef could be sold "as is" for $3.00 per pound to the dog food processing plant, or roasted and sold in the deli. The cost of roasting the beef will be $2.80 per pound, and each pound could be sold for $6.50. What is the gross profit/loss per pound if the raw beef is roasted and sold in the deli?

Q2. Underground Food Store has 4,000 pounds of raw beef nearing its expiration date. Each pound has a cost of $4.50. The beef could be sold "as is" for $3.00 per pound to the dog food processing plant, or roasted and sold in the deli. The cost of roasting the beef will be $2.80 per pound, and each pound could be sold for $6.50. Should the beef be sold "as is" or roasted and sold in the deli?

Q3. Ralston Dairy gathered this data about the two products that it produces:

Product	Current Sales Value	Estimated Added Processing Costs	Sales Value if Processed Further
Frozen yogurt	$8,000	$2,000	$11,000
Ice cream	12,000	7,000	18,000

What is the effect on profit if the frozen yogurt is processed further?