Saved Help Save & Exit MC Qu. 47 Chang Industries has... Chang Industries has 2.500 defective units of product that have already cost $14.50 each to produce. A salvage company will purchase the defective units as they are for $5.60 each. Chang's production manager reports that the defects can be corrected for $5.50 per unit, enabling them to be sold at their regular market price of $22.00. The incremental income or loss on reworking the units is: 5 Multiple Choice $27,250 loss. $27,250 income. $13,750 loss