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What is the amount of the differential revenue

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Problem - Sell or process further - St. Paul Lumber Company incurs a cost of $280 per hundred board feet in processing certain "rough-cut" lumber, which it sells for $320 per hundred board feet. An alternative is to produce a "finished cut" at a total processing cost of $350 per hundred board feet, which can be sold for $415 per hundred board feet. What is the amount of (a) the differential revenue, (b) differential cost, and (c) differential income for processing rough-cut lumber into finished cut?

Reference no: EM132708067

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