NF Toy Company is unsure of whether to sell its product assembled or unassembled.
The unit cost of the unassembled product is $24 and NF Toy would sell it for $52.
The cost to assemble the product is estimated at $17 per unit and the company believes the market would support a price of $68 on the assembled unit.
What decision should NF Toy make?
a. Sell before assembly, the company will be better off by $1 per unit.
b. Sell before assembly, the company will be better off by $16 per unit.
c. Process further, the company will be better off by $23 per unit.
d. Process further, the company will be better off by $11 per unit.
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