Polly Enterprises manufactures lamps that normally sell for $75 each. There are 300 defective lamps in inventory, which cost $55 each to manufacture. These defective units can be sold as is for $20 each, or they can be processed further for a cost of $45 each and then sold for the normal selling price. Polly Enterprises would be better off by a

$3,000 net increase in operating income if lamps are repaired.

$3,000 net increase in operating income if lamps are sold as is.

$16,500 net increase in operating income if lamps are repaired.

$16,500 net increase in operating income if lamps are sold as is.