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Varte Company has 11.400 units of its product in inventory that it produced last year at. a cost of $159,000. This year's modec 5 belter than last year's, and the 11.400 units cannot be sold at last year's normal selling price of $46 each, Varto has two alternatives for these units (1) They can be sold as is to a wholesaler for $148,200 or (2) they can be processed further ot an additional cost of $212400 ariat then sold for 5353,400 (o) Prepale a sell as is of process further analysis of income effects. (b) Should Varto sell the products as is or process further and then sell them? A compony must decide between scrapping or reworking units that do not pass inspection. The company has to.000 defective units that have already cost $132,000 to manufacture. The units can be sold as scrop for $33,000 or reworked for $48,000 and then sold tor $91,000 (a) Prepare a scrap or rework analysis of income effects (b) Should the company sell the units as scrap or rework them