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Chapter 25 Homework (Application) Book Sell or Process Further Show Me How Calgary Lumber Company incurs a cost of $364 per hundred board feet (hof)
Chapter 25 Homework (Application) Book Sell or Process Further Show Me How Calgary Lumber Company incurs a cost of $364 per hundred board feet (hof) in processing certain "rough-cut" lumber, which it sells for $550 per bbf. An alternatives to produce a "finished-out" at a total processing cost of $522 per hof, which can be sold for $752 per ho a. Prepare a differential analysis dated March 15 on whether to sell rough-cut lumber (Alternative 1) or process further into finished-cut lumber (Alternative 2). Differential Analysis Sell Rough-Cut (Alt. 1) or Process Further into Finished-Cut (Alt. 2) March 15 Sell Rough-Cut (Alternative 1) Process Further into Finished-Cut Differential Effects (Alternative 2) (Alternative 2) Revenues, per 100 board ft. Costs, per 100 board Profit (Loss), per 100 board f b. Determine whether to sell rough-cut lumber (Alternative 1) or process further into finished-out lumber (Abernative 2). Sell rough-cut humber
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