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Question Content Area Differential Analysis for Further Processing The management of International Aluminum Co. is considering whether to process aluminum ingot further into rolled aluminum.

Question Content Area 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 $2,500 per ton, and ingot can be sold without further processing for $1,250 per ton. Ingot is produced in batches of 85 tons by smelting 530 tons of bauxite, which costs $103 per ton of bauxite. Rolled aluminum will require additional processing costs of $640 per ton of ingot, and 1.25 tons of ingot will produce 1 ton of rolled aluminum. Required: Question Content Area 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) Differential Effects (Alternative 2) Revenues, per batch $fill in the blank 4f752500dfb9fe0_1 $fill in the blank 4f752500dfb9fe0_2 $fill in the blank 4f752500dfb9fe0_3 Costs, per batch fill in the blank 4f752500dfb9fe0_4 fill in the blank 4f752500dfb9fe0_5 fill in the blank 4f752500dfb9fe0_6 Profit (loss), per batch $fill in the blank 4f752500dfb9fe0_7 $fill in the blank 4f752500dfb9fe0_8 $fill in the blank 4f752500dfb9fe0_9 Question Content Area 2. International Aluminum Co. process aluminum ingot further, rather than sell aluminum ingot because profits would be .

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