Sell or Process-Further Decision
E 14. Six Star Pizza manufactures frozen pizzas and calzones and sells them for $4 each. It is currently considering a proposal to manufacture and sell fully prepared products. The following relevant information has been gathered by management:
| Product | Sales Revenue if No Additional Processing | Sales Revenue if Processed Further | Additional Processing Costs |
| Pizza | $4 | $ 8 | $5 |
| Calzone | 4 | 10 | 5 |
Use incremental analysis to determine which products Six Star should offer.
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