Root Petroleum has spent S200,000 to refine 61,000 gallons of petroleum distillate, which can be sold for $6.30 per gallon. Alternatively, Root can process the distillate further and produce 57,000 gallons of cleaner fluid. The additional processing will cost $1.85 per gallon of distillate. The cleaner fluid can be sold charge of $0.16 per gallon. $9.10 per gallon sell cleaner fluid, Root must pay a sales commission f $0.14 per gallon and a transportation Read the requirements. Requirement 1. Fill in the diagram for Root's alternatives. Revenues from selling as is Joint costs of producing 61.000 gallons of petroleum distillate Revenues from Cost of processing processing further further Requirement 2. Identify the sunk cost. Is the sunk cost relevant to Root's decision? Vto the differ between the altematives of selling as is or processing further. Consequently, this sunk cost is The sa sunk cost that eall-or-process-further decision. Requirement 3. Should Root sell the petroleum distillate or process it into cleaner fluid? Show the expected net revenue difference between the two alternatives. (Enter decreases to profits with a parentheses or minus sign. For the difference total net revenue, use a parentheses or a minus sign if processing further will decrease total net revenue.) Process Sell As Is Difference Further Expected revenue from selling 61,000 gallons of petroleum distillate Expected revenue from selling 57,000 gallons of cleaner fluid Additional costs of processing Total net revenue Decision