eBook Sell at Split-Off or Process Further Decision, Alternatives, Relevant Costs Vihaan Chemicals Company processes a number of chemical compounds used in disinfecting health club fitness equipment. One compound is decomposed into two chemicals: hexalene and soroaphine. The cost of processing one batch of compound is $71,500, and the result is 6,300 pallons of flexalene and 7,600 gettons of soreaphine. Vhaan Chemicals consell the Texalene at split-off for $12.00 per gallon and the soreaphina for $6.85 per gallon. Alternatively, the flexlene can be processed further at a cost of $7.50 per gallon (of hexalene) into latine. It takes 2 gallons of flexalene for every gallon of tactine. Agallon of lactine sells for $62 Required: 1. Which alternative in more cost effective and by how much? NOTE DO NOT round Interim calculations and, if required, round your answer to the nearest dollar Sell at split-off Process it further of flexslene into actine required additional purchasing and quality inspection activity? Every 500 galons of flexlene that undergo further processing require 17 more purchase orders at $11 each and 14 more quality inspection hours at $24 each. Which alternative would be better and by how much? NOTE: Round interim calculations and your final answer to the nearest cent. by 1. Which alternative is more cost effective and by how much NOTE: Do NOT round Interim calculations and, if required, round your answer to the nearest dollar. by 2. What if the production of flexalene into lactine required additional purchasing and quality inspection activity? Every 500 gallons of flex alene that undergo further processing require 17 more purchase orders at $11 each and 14 more quality Inspection hours at $24 cach. Which alternative would be better and by how much? NOTE: Round interim calculations and your final answer to the nearest cent. Sell at split-off Process it further