A company buys and processes a chemical at a cost of $34,000 to produce 1,000kg of X and 1,000kg of Z. X can be sold at $34 per kg or be treated at a cost of $2,000 to make 500kg of A and 500kg of B. Untreated A can be sold at $35 per kg and untreated B at $30 per kg. If treated, which costs $5,000 for A and $200 for B, improved A sells for $36 per kg and improved B for $30.50 per kg. The Z can be sold at $20 per kg or be turned into Z* at a cost of $1,000 and sold at $22 per kg.

Joint costs are allocated by relative final sales value. The company accountant has advised against further processing of A. What would the costs of processing A have to fall to for it to become worthwhile?