Exercise 23-5 Sell or process turther LO P2 Varto Company has 9,400 units of its sole product in inventory that it produced last year at a cost of $34 each. This year's model is superior to last year's, and the 9,400 units cannot be sold at last year's regular selling price of $41 each. Varto has two alternatives for these items: (1) they can be sold to a wholesaler for $8 each or (2) they can be processed further at a cost of $214,800 and then sold for $30 each. Should Varto sell the products as is or process further and then sell them