Process or Sell Product 319 is produced for $3.38 per gallon. Product 319 can be sold without additional processing for $4.22 per gallon, or processed further into Product R33 at an additional cost of $0.40 per gallon. Product R33 can be sold for $4.48 per gallon. a. Prepare a differential analysis dated April 30 on whether to sell Product 119 (Alternative 1) or process further into Product R33 (Alternative 2). Round your answers to the nearest cent. If required, use a minus sign to indicate a loss. Differential Analysis Sell Product 319 (Alt. 1) or Process Further into Product R33 (Alt. 2) April 30 Sell Product J19 (Alternative 1) Process Further into Product R33 (Alternative 2) Differential Effects (Alternative 2) Revenues, per unit Costs, per unit Profit (loss), per unit b. Should Product 119 be sold (Alternative 1) or processed further into Product R33 (Alternative 2)? Sell Product 319
Process or Sell Product 319 is produced for $3.38 per gallon. Product 319 can be sold without additional processing for $4.22 per gallon, or processed further into Product R33 at an additional cost of $0.40 per gallon. Product R33 can be sold for $4.48 per gallon. a. Prepare a differential analysis dated April 30 on whether to sell Product 119 (Alternative 1) or process further into Product R33 (Alternative 2). Round your answers to the nearest cent. If required, use a minus sign to indicate a loss. Differential Analysis Sell Product 319 (Alt. 1) or Process Further into Product R33 (Alt. 2) April 30 Sell Product J19 (Alternative 1) Process Further into Product R33 (Alternative 2) Differential Effects (Alternative 2) Revenues, per unit Costs, per unit Profit (loss), per unit b. Should Product 119 be sold (Alternative 1) or processed further into Product R33 (Alternative 2)? Sell Product 319
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Process or Sell
Product 319 is produced for $3.38 per gallon. Product 319 can be sold without additional processing for $4.22 per gallon, or processed further into Product R33
at an additional cost of $0.40 per gallon. Product R33 can be sold for $4.48 per gallon.
a. Prepare a differential analysis dated April 30 on whether to sell Product 119 (Alternative 1) or process further into Product R33 (Alternative 2). Round
your answers to the nearest cent. If required, use a minus sign to indicate a loss.
Differential Analysis
Sell Product 319 (Alt. 1) or Process Further into Product R33 (Alt. 2)
April 30
Sell
Product J19
(Alternative 1)
Process
Further into
Product R33
(Alternative 2)
Differential
Effects
(Alternative 2)
Revenues, per unit
Costs, per unit
Profit (loss), per unit
b. Should Product 119 be sold (Alternative 1) or processed further into Product R33 (Alternative 2)?
Sell Product 319
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