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Question IV: A job of 1,000 VCRs manufactured by Amanatu Corp. contains defective parts. The cost incurred in manufacturing these defective units is $160,000. Amanatu

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Question IV: A job of 1,000 VCRs manufactured by Amanatu Corp. contains defective parts. The cost incurred in manufacturing these defective units is $160,000. Amanatu Corp. can sell these units as scrap materials for $65 per unit or repair all 1,000 units at a total cost of $90,000. If the units are repaired, they can be sold at the normal price of $230 per unit. 1 What will be the total amount of the loss incurred by Amanatu Corp. on the sale of these units if they are sold for scrap at $65 per unit? $ 2 What will be the average per-unit manufacturing cost of the VCR, including repair costs, assuming that Amanatu Corp. does the repairs? $ per unit 3 What will be the total amount of the loss incurred by Amanatu Corp. on the sale of these units if they are repaired and sold for $230 per unit? $ 4 What is the relevant cost to Amanatu Corp. in deciding whether or not to repair the units? (State this cost as a total amount for all 1,000 units.) $ 5 Should Amanatu Corp (1) sell the units for scrap or (2) repair the units? Underline the most profitable action, and indicate the amount of the net financial benefit of this action to the company. $

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