Question
3. Constantine Corp. has 20,000 tons of old inventory in a warehouse that originally cost $44,000 to manufacture. Itcould be sold as scrap to a
3. Constantine Corp. has 20,000 tons of old inventory in a warehouse that originally cost $44,000 to manufacture. Itcould be sold as scrap to a buyer in Tunisia for $32,000minus transportation cost of $0.25 per ton. Alternatively, the 20,000 tons of old inventory could be sold here in the USA if it is processed further at an additional cost of $54,000. Constantine processes the old inventory furtherand sells it in the USA. This results in an increase in Constantines net income of $8,000. Calculate the total USA sales price of the processed old inventory (round to nearest $1).
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