Accounting · Relevant Costing (Further Processing Decision)

Loxwood Co. is considering whether to sell its product, 'tom', or process it further to make 'tig'. It has already incurred joint processing costs of $3 per unit for tom. Selling tom as-is yields 60,000 units at $8 per unit. Alternatively, 3 units of tom make 1 unit of tig, yielding 20,000 units of tig. Further variable costs for tig are $6 per unit, and further fixed costs are $150,000. Tig sells for $40 per unit. What is the financial gain or loss of further processing tom into tig?