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Help 3 Harold Manufacturing produces denim clothing. This year, it produced 5,190 denim jackets at a manufacturing cost of $4100 each These jackets were damaged
Help 3 Harold Manufacturing produces denim clothing. This year, it produced 5,190 denim jackets at a manufacturing cost of $4100 each These jackets were damaged in the warehouse during storage Management investigated the matter and identified three alternatives for these jackets 15.66 points 1. Jackets can be sold os is to a secondhand clothing shop for $7.00 each 2. Jackets can be disassembled at a cost of $31.500 and sold to a recycler for $12.00 each 3. Jackets can be reworked and turned into good jockets. However, with the damage, management estimates it will be able to assemble the good parts of the 5,190 jackets into only 2,940 jackets. The remaining pleces of fabric will be discarded. The cost of reworking the jackets will be $101.400, but the jackets can then be sold for their regular price of $45.00 each boos Required: 1. Calculate the incremental income Alternative 1 Alternative 2 Disassemble and sell to a recycler Alternative 3 Rework and sell at regular prices secondhand shop Incremental revenue Incremental Incremental income 5 os Alternative Alternative 2 Alternative 3
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