Zing Coffee Company produces Columbian coffee in batches of 5,400 pounds. The standard quantity of materials...

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Zing Coffee Company produces Columbian coffee in batches of 5,400 pounds. The standard quantity of materials required in the process is 5,400 pounds, which cost $6.00 per pound. Columbian coffee can be sold without further processing for $7.40 per pound. Columbian coffee can also be processed further to yield Decaf Columbian which can be sold for $12.00 per pound. The processing into Decaf Columbian requires additional processing costs of $10,550 per batch. The additional processing will also cause a 4% loss of product due to evaporation. a. Prepare a differential analysis report for the decision to sell or process further. Zing Coffee Company Process Columbian Coffee Further Differential Analysis Report Differential revenue from further processing per batch: Revenue from sale of Decaf Columbian Revenue from sale of Columbian coffee Differential revenue Differential cost per batch: 62,208 39,960 22,248 Additional cost of producing Decaf Columbian 10,550 Differential income from further processing Decaf Columbian per batch 11,698 Zing Coffee Company produces Columbian coffee in batches of 5,400 pounds. The standard quantity of materials required in the process is 5,400 pounds, which cost $6.00 per pound. Columbian coffee can be sold without further processing for $7.40 per pound. Columbian coffee can also be processed further to yield Decaf Columbian which can be sold for $12.00 per pound. The processing into Decaf Columbian requires additional processing costs of $10,550 per batch. The additional processing will also cause a 4% loss of product due to evaporation. a. Prepare a differential analysis report for the decision to sell or process further. Zing Coffee Company Process Columbian Coffee Further Differential Analysis Report Differential revenue from further processing per batch: Revenue from sale of Decaf Columbian Revenue from sale of Columbian coffee Differential revenue Differential cost per batch: 62,208 39,960 22,248 Additional cost of producing Decaf Columbian 10,550 Differential income from further processing Decaf Columbian per batch 11,698