Chang Industries has 2,000 tables that cost $115 each to produce. Each table can be sold as is for $221 or finished with a stain or paint. The cost to add a finish to each table is $75. Finished tables can be sold for $310. Chang should:

A. Finish the table for profit of $89 per table.
B. Sell unfinished tables for $106 incremental revenue per table.
C. Finish the table for incremental cost of $190 per table.
D. Sell the unfinished tables for profit of $195 per table.
E. Finish the table for profit of $14 per table.


Answer: E

Business

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