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1 1 - 1 1 Sell or process further Northern Lumber Company incurs a cost of $ 2 5 0 per hundred board feet (

11-11 Sell or process further Northern Lumber Company incurs a cost of $250 per hundred board feet (hbf) in processingcertain rough-cut lumber, which it sells for $300 per hbf. An alternative is to produce a finishedcut at a total processing cost of $315 per hbf, which can be sold for $375 per hbf. Prepare adifferential analysis dated April 21 on whether to sell rough-cut lumber (Alternative 1) or processfurther into finished-cut lumber (Alternative 2).

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