Sutton Industrial Products Inc. (SIPI) is a diversified industrial-cleaner processing company. The companys Verde plant produces two products: a table cleaner and a floor cleaner from a common set of chemical inputs (CDG). Each week 910,350 ounces of chemical input are processed at a cost of $210,300 into 606,900 ounces of floor cleaner and 303,450 ounces of table cleaner. The floor cleaner has no market value until it is converted into a polish with the trade name FloorShine. The additional processing costs for this conversion amount to $244,045. FloorShine sells at $21 per 30-ounce bottle. The table cleaner can be sold for $26 per 25-ounce bottle. However, the table cleaner can be converted into two other products by adding 303,450 ounces of another compound (TCP) to the 303,450 ounces of table cleaner. This joint process will yield 303,450 ounces each of table stain remover (TSR) and table polish (TP). The additional processing costs for this process amount to $103,700. Both table products can be sold for $22 per 25-ounce bottle. The company decided not to process the table cleaner into TSR and TP based on the following analysis.

________________________Process Further______________________

(Blank)	Table Cleaner	Table Stain Remover (TSR)	Table Polish (TP)	Total
Production in ounces	303,450	303,450	303,450
Revenue	$315,588	$267,036	$267,036	$534,072
Costs:
CDG costs	70,100 *	52,575	52,575	105,150**
TCP Costs	0	51,850	51,850	103,700
Total costs	70,100	104,425	104,425	208,850
Weekly gross profit	$245,488	$162,611	$162,611	$325,222

*If table cleaner is not processed further, it is allocated 1/3 of the $210,300 of CDG cost, which is equal to 1/3 of the total physical output. **If table cleaner is processed further, total physical output is 1,213,800 ounces. TSR and TP combined account for 50% of the total physical output and are each allocated 25% of the CDG cost.

Determine if management made the correct decision to not process the table cleaner further by doing the following. (1) Calculate the companys total weekly gross profit assuming the table cleaner is not processed further.

Total Weekly Gross Profit

286073

(2) Calculate the companys total weekly gross profit assuming the table cleaner is processed further.

Total weekly gross profit

400857

(3) Compare the resulting net incomes and comment on managements decision.

Management made the WRONG decision by choosing to not process table cleaner further.

Using incremental analysis, determine if the table cleaner should be processed further. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

(Blank)	Don't Process Table Cleaner Further	Process Table Cleaner Further	Net Income Increase (Deacrese)
Incremental Revenue	315588	534072	218484
Incremental Costs	$_________________?	$________________?	$________________?
Totals	$_________________?	$_______________?	$________________?

(I only need part 3)