Holmes Company produces a product that can be either sold as is or processed further. Holmes has already spent $88,000 to produce 1,975 units that can be sold now for $73,500 to another manufacturer. Alternatively, Holmes can process the units further at an incremental cost of $280 per unit. If Holmes processes further, the units can be sold for $435 each. Should Holmes sell the product now or process it further? Sales Additional processing costs Income (loss) The company should: Sell as is Process Further Incremental Amount