The management of Dominican Sugar Company is considering whether to process further raw sugar into refined sugar. Refined sugar can be sold for $$2\mathrm{.}09$ per pound, and raw sugar can be sold without further processing for $$1\mathrm{.}17$ per pound. Raw sugar is produced in batches of $28,800$ pounds by processing $72,000$ pounds of sugar cane, which costs $$0\mathrm{.}29$ per pound of cane. Refined sugar will require additional processing costs of $$0\mathrm{.}44$ per pound of raw sugar, and $1\mathrm{.}20$ pounds of raw sugar will produce $1$ pound of refined sugar.

Required:

Prepare a differential analysis as of March $24$ to determine whether to sell raw sugar $($Alternative $1)$ or process further into refined sugar $($Alternative $2).$ If required, do not round interim calculations. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

Differential Analysis

Sell Raw Sugar $($Alt$.1)$ or Process Further into Refined Sugar $($Alt$.2)$

March $24$

$\backslash$table$[[\backslash$table$[[$Sell Raw$],[$Sugar$],[($Alternative $1)]],\backslash$table$[[$Process$],[$Rurther into$],[$Refined Sugar$],[($Alternative $2)]],\backslash$table$[[$Differential$],[$Effects$],[($Alternative $2)]]],[$Costs$,$ per batch,$$,],[$Profit $($loss$),$ per batch,,$]]$

Dominican Sugar Company process raw sugar further to produce refined sugar, because profits would be