Listmann Corp. processes four different products that can either be sold as is or processed further. Listed below are sales and additional cost data: Product Sales Value with no further Processing Additional Processing Costs Sales Value after further processing Premier $ 1,350 $ 900 $ 2,700 Deluxe 450 225 630 Super 900 450 1,800 Basic 90 45 180 Which product(s) should not be processed further?

Which product(s) should not be processed further?

Deluxe products should not be processed further because the cost of further processing is higher than the additional benefits.

Explanation:

Product    Sales value with            Additional processing   Sales value after

                no further processing   costs                               further processing

Premier         $1,350                             $900                             $2,700

Deluxe            $450                             $225                                $630

Super              $900                             $450                              $1,800

Basic                 $90                               $45                                  $180

                      further processing         added value            difference

                      costs

Premier          $900                               $1,350                      $450

Deluxe            $225                                 $180                     ($180)            

Super              $450                                $900                      $450

Basic                 $45                                   $90                        $45

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