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onl.conton Sinprogressfalse 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 for $2,200 per ton, and ingot can be sold without further processing for $1,100 per ton Ingot is produced in batches of tons by smelting 550 tons et bauxite, which costs $104 per ton of bauxite. Rolled aluminum will require additional processing costs of $650 per ton of ingot, and 1.25 tons of ingot w produce 1 ton of rolled aluminum Required: 1. Prepare a differential analysis as of February 5 to determine whether to sell aluminum ingot (Alternative 1) or process further into rolled aluminium (Alternative 2). It 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 Process Sell Ingot Further into Differential (Alternative 1) Rolled Effects (Alternative 2) Aluminum (Alternative 2) Revenues, per batch 88,000 $ 140,800 52,800 Costs, per batch 57,200 65,520 X 8,320 X Profit (loss), per batch 30.800 75.280 X 14.480 X 2. International Aluminum Co. should proces aluminum ingot further, rather than sell aluminum ingot because profits would be increased ock My Work 1 more Check My Work uses remaining Previous Next

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