3. ABC company has an inventory of 1,050 assorted parts for a line of missiles that has been discontinued. The inventory cost is $ 73,000. The parts can be either (a) re-machined at total additional costs of $ 25,000 and then sold for $ 34,000 or (b) sold as scrap for $ 4,000. Which action is more profitable? Show your calculations.

			(a)	(b)

Which is more profitable?