2. Chapter 25 EXTRA CREDIT Progress: 2/2 Items Assignment Score: 0.0% Differential Analysis for Further Processing The management of International Aluminum Co. Is considering whether to process aluminum Ingot further into rolled aluminum. Rolled aluminum can be sold for $2,300 per ton, and Ingot can be sold without further processing for $1,150 per ton. Ingot is produced in batches of 90 tons by smelting 540 tons of bauxite, which costs $109 per ton of bauxite. Rolled aluminum will require additional processing costs of $620 per ton of Ingot, and 1.25 tons of Ingot will produce 1 ton of rolled aluminum. Required: 1. Prepare a differential analysis as of February 5 to determine whether to sell aluminum Ingot (Alternative 1) or process further into rolled aluminum (Alternative 2). If required, do not round interim calculations. If required, use a minus sign to indicate a loss. Differential Analysis Sell Ingot (Alt. 1) or Process Further into Rolled Aluminum (Alt. 2) February 5 Sell Ingot (Alternative 1) Process Further into Rolled Aluminum (Alternative 2) Revenues, per batch Costs, per batch Profit (loss), per batch Differential Effects (Alternative 2) 2. International Aluminum Co. process aluminum Ingot further, rather than sell aluminum ingot because profits would be Previous Submit Assignment for Grading