Question - Bunyon Lumber Company incurs a cost of $490 per hundred board feet in processing certain "rough cut" lumber, which it sells for $635 per hundred board feet. An alternative is to produce a "finished cut" at a total processing cost of $565 per hundred board feet, which can be sold for $480 per hundred board feet.
What is the amount of (a) the differential revenue, (b) differential cost, and (c) differentialincome for processing rough-cut lumber into finished cut?