Sohr Corporation: calculate overall profit or loss by processing intermediate product

Question

Sohr Corporation processes sugar beets that it purchases from farmers. Sugar beets are processed in batches. A batch of sugar beets costs $54 to buy from farmers and $11 to crush in the company's plant. Two intermediate products, beet fiber and beet juice, emerge from the crushing process. The beet fiber can be sold as is for $16 or processed further for $15 to make the end product industrial fiber that is sold for $66. The beet juice can be sold as is for $49 or processed further for $19 to make the end product refined sugar that is sold for $66.

How much profit (loss) does the company make by processing the intermediate product beet juice into refined sugar rather than selling it as is?

a. $(75)

b. $(33)

c. $(21)

d. $(2)