Product J19 is produced for $3.38 per gallon. Product J19 can be sold without additional processing for $4.12 per gallon, or processed further into Product R33 at an additional cost of $0.47 per gallon. Product R33 can be sold for $4.56 per gallon. a. Prepare a differential analysis dated April 30 on whether to sell Product J19 (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 J19 (Alt. 1) or Process Further into Product R33 (Alt. 2) April 30 Process Sll Differential Further into Product J19 Effects Product R33 (Alternative 2) (Alternative 1) (Alternative 2) Revenues, per unit Costs, per unit Profit (loss), per unit b. Should Product J19 be sold (Alternative 1) or processed further into Product R33 (Alternative 2)?

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Process or Sell
Product J19 is produced for $3.38 per gallon. Product J19 can be sold without additional processing for $4.12 per gallon, or processed further into Product R33 at an additional cost of $0.47 per gallon. Product R33 can be sold for $4.56 per gallon.
a. Prepare a differential analysis dated April 30 on whether to sell Product J19 (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 J19 (Alt. 1) or Process Further into Product R33 (Alt. 2)
April 30
Process
Sell
Differential
Further into
Product J19
Effects
Product R33
(Alternative 1)
(Alternative 2)
(Alternative 2)
Revenues, per unit
Costs, per unit
Profit (loss), per unit
b. Should Product J19 be sold (Alternative 1) or processed further into Product R33 (Alternative 2)?
Transcribed Image Text:Process or Sell Product J19 is produced for $3.38 per gallon. Product J19 can be sold without additional processing for $4.12 per gallon, or processed further into Product R33 at an additional cost of $0.47 per gallon. Product R33 can be sold for $4.56 per gallon. a. Prepare a differential analysis dated April 30 on whether to sell Product J19 (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 J19 (Alt. 1) or Process Further into Product R33 (Alt. 2) April 30 Process Sell Differential Further into Product J19 Effects Product R33 (Alternative 1) (Alternative 2) (Alternative 2) Revenues, per unit Costs, per unit Profit (loss), per unit b. Should Product J19 be sold (Alternative 1) or processed further into Product R33 (Alternative 2)?
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