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Crane Company has inventory on hand with a cost of $28500. Its scrap value is $36000. The inventory could be sold for $82000 if processed
Crane Company has inventory on hand with a cost of $28500. Its scrap value is $36000. The inventory could be sold for $82000 if processed further at an additional cost of $22000. What should Crane do? Dispose of the inventory to avoid any further decline in value. Sell the inventory for $36000 scrap value. Hold the inventory at its $28500 cost. Manufacture further and sell it for $82000
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