Mu Tou (MT) Is a Wooden Furniture Manufacturing Company Based

Mu Tou (MT) is a wooden furniture manufacturing company based in China, which imports wood of various types and exports both plywood and finished products. MT recently began purchasing and processing bamboo, which is increasingly being used in flooring and houses. MT is considering whether to sell bamboo plywood sheets or to further process the wood and create furniture. Information regarding the production process for MT is as follows:
To produce a sheet of bamboo plywood:
Direct Materials: $40
Direct Labor: 1.5 hours at $10/hour
Variable Overhead: 2 machine hours at a rate of $7/machine hour
Fixed overhead: $5/machine hour
Selling price of a sheet of bamboo plywood: $80
Extra costs to further process a sheet of bamboo plywood into furniture:
Direct Materials: $20
Direct Labor: 3.5 hours, at $10/hour
Variable Overhead: 5 machine hours, at a rate of $7/machine hour
Fixed overhead: $5/machine hour
Selling price of items produced from one sheet of bamboo plywood: $150
What would be the differential income of producing and processing the bamboo plywood further? Should MT process the bamboo plywood further or just sell the sheets of bamboo plywood?