Incorrect, answer in same format.

Varto Company has 8,200 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 8,200 units cannot be sold at last year's regular selling price of $38 each. Varto has two alternatives for these items: (1) they can be sold to a wholesaler for $11 each or (2) they can be processed further at a cost of $196,100 and then sold for $34 each. Should Varto sell the products as is or process further and then sell them? INCREMENTAL REVENUE AND COST OF ADDITIONAL PROCESSING Revenue if processed further $ 246,000 Revenue if sold as is 106,600 Incremental revenue 139,400 147,000 Incremental net income(Loss) $ (7,600) The company should: Sell as is