Sell or Process Further Abica Coffee Company produces Columbian coffee in batches of 5,800 pounds. The standard quantity of materials required in the process is 5,800 pounds, which cost $6.00 per pound. Columbian coffee can be sold without further processing for $7.40 per pound. Columbian coffee can also be processed further to yield Decaf Columbian, which can be sold for $12.00 per pound. The processing into Decaf Columbian requires additional processing costs of $14,950 per batch. The additional processing will also cause a 6% loss of product due to evaporation. a. Prepare a differential analysis report for the decision to sell or process further. Abica Coffee Company Proposal to Process Columbian Coffee Further Differential Analysis Report Differential revenue from further processing per batch: Revenue from sale of Decaf Columbian , Revenue from sale of Columbian coffee Differential revenue Differential cost per batch: Additional cost of producing Decaf Columbian Differential income from further processing Decaf Columbian per batch Feedback Check My Work a. Follow Exhibit 10 in the text. For both products, subtract the costs from the revenues. Determine the differential effect on the revenues, costs, and income (loss). b. Should Abica Coffee sell Columbian coffee or process further and sell Decaf Columbian? Yes, process further and sell decaf Columbian