Question: I need three correct answers. I attached the example from the text labeled Exhibit 10. Differential Analysis Report for Further Processing The management of Dorsch

I need three correct answers. I attached the example from the text labeled Exhibit 10.I need three correct answers. I attached the example from the textlabeled Exhibit 10. Differential Analysis Report for Further Processing The management ofDorsch Aluminum Co. is considering whether to process aluminum ingot further intorolled aluminum. Rolled aluminum can be sold for $4,120 per ton, and

Differential Analysis Report for Further Processing The management of Dorsch Aluminum Co. is considering whether to process aluminum ingot further into rolled aluminum. Rolled aluminum can be sold for $4,120 per ton, and ingot can be sold without further processing for $2,307.2 per ton. Ingot is produced in batches of 110 tons by smelting 275 tons of bauxite, which costs $576.8 per ton. Rolled aluminum will require additional processing costs of $865.2 per ton of ingot, and 1.2 tons of ingot will produce 1 ton of rolled aluminum (due to trim losses). Required: 1. Prepare a report presenting a differential analysis associated with the further processing of aluminum ingot to produce rolled aluminum. Dorsch Aluminum Co. Proposal to Process Raw Sugar Further 377,666.67 X 253,792 Differential revenue from further processing per batch: Revenue from sale of rolled aluminum Revenue from sale of aluminum ingot Differential revenue Differential cost per batch: Additional cost of processing rolled aluminum 123,874.67 x 95,172 Differential gain from further processing aluminum ingot, per batch 28,702.67 Differential Analysis Report for further Processing The management of Dorsch Aluminum Co. is considering whether to process aluminum ingot further into rolled aluminum. Rolled aluminum can be sold for $4,120 per ton, and ingot can be sold without further processing for $2,307.2 per ton. Ingot is produced in batches of 110 tons by smelting 275 tons of bauxite, which costs $575.8 per ton. Rolled aluminum will require additional processing costs of $865.2 per ton of ingot, and 1.2 tons of ingot will produce 1 ton of rolled aluminum (due to trim losses). Required: produce rolled aluminum. 1. Prepare a report presenting a differential analysis associated with the further processing of aluminum ingot Dorsch Aluminum Co. Proposal to Process Raw Sugar Further Differential revenue from further processing per batch: Revenue from sale of rolled aluminum 377,667 Revenue from sale of aluminum ingot 253,792 123,875 X Differential revenue Differential cost per batch: Additional cost of processing rolled aluminum 95,172 Differential gain from further processing aluminum ingot, per batch $ 28,703 X Feedback Check My Work 1. 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). Exhibit 10 Differential Analysis Report- Process or Sell Process Kerosene Further Differential Analysis Report Differential revenue from further processing per batch: Revenue from sale of gasoline [(4,000 gallons - 800 gallons evaporation) X $3.50] Revenue from sale of kerosene (4,000 gallons X $2.50) Differential revenue.. Differential cost per batch: Additional cost of producing gasoline.... Differential income from further processing gasoline per batch...... $11,200 (10,000) $1,200 (650) $ 550 To illustrate, assume that a business produces kerosene as follows: Kerosene: Batch size Cost of producing kerosene Selling price 4,000 gallons $2,400 per batch $2.50 per gallon The kerosene can be processed further to yield gasoline as follows: Gasoline: Input batch size Less evaporation (20%) Output batch size Additional processing costs Selling price 4,000 gallons (800) (4,000 X 20%) 3,200 gallons $650 per batch $3.50 per gallon

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