just need cost of recycled/reworked units for scrap.

Hip Manufacturing produces denim clothing. This year it produced 3.360 denim jackets at a cost of $100,800. These jackets were damaged in the warehouse during storage. Management identified three alternatives for these jackets 1. Jackets can be sold as scrap to a secondhand clothing shop for $20,160, 2. Jackets can be disassembled at a cost of $6,720 and sold to a recycler for $40,320 3. Jackets can be reworked and turned into good jackets. The cost of reworking the jackets will be $114,240, and the jackets can then be sold for $151,200 Required: (1) Compute the income for each alternative. (2) Which alternative should be chosen? Scrap 20,160 5 $ Scrap. Recycle or Rework Analysis Revenue from scrap/recycle/rework Cost of recycled/reworked units Income Recycle 40,320 s 6,720 33,600 $ Rework 151,200 114,240 36.960 $ 20,160 $ The company should choose: Rework