What the incremental income of producing Product B

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Question - Hill Co. can further process Product A to produce Product B. Product A is currently selling for $80 per kg and costs $62 per kg to produce. Product B would sell for $102 per kg and would require an additional cost of $10 per kg to produce. What the incremental income of producing Product B?

a. $22 per kg.

b. $52 per kg.

c. $64 per kg.

d. $12 per kg.

e. None of the above answers is correct.

Reference no: EM132822950

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