Part b $($Algo$)$

Disposal of Assets A company has an inventory of $2,750$ different parts for a line of cars that has been discontinued. The net book value $($NBV$)$ of this inventory is $$68,750.$ Either the parts can be re$-$machined at a total additional cost of $$34,375$ and then sold for $$41,250,$ or the parts can be sold as$-$is for $$3,250.$

Required:

Is there a net benefit or a net loss from remachining the parts versus scrapping the parts?

Net benefit from remachining parts