Question 5 Pearl City Carpet produced 1,208 yards of its economy-grade carpet. In the coloring process, there was a to be faded. The carpet normally sells for $15 per yard: $7 of variable cost per yard and $6 of fixed cost per yard have been assigned to the carpet. pigment defect, and the resulting color appeared The company realizes that it cannot sell the carpet for $15 per yard through its normal channels, unless the coloring process is repeated. The incremental cost of the process is $2 per yard. However, Practical Home Solutions is willing to buy the carpet in its current faded condition for $9 per yard. Should Pearl City repeat the coloring process or sell the carpet to Practical Home Solutions? Pearl City should Total incremental benefit is $ Question Attempts: 0 of 1 used