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thanks in advance Varto Company has 11,200 units of its sole product in inventory that it produced last ear at a cost of $30 each.
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Varto Company has 11,200 units of its sole product in inventory that it produced last ear at a cost of $30 each. This year's model is superior to last year's, and the 1,200 units cannot be sold at last year's regular selling price of $48 each. Varto has wo alternatives for these items: (1) they can be sold to a wholesaler for $15 each or [2) they can be processed further at a cost of $209,500 and then sold for $33 each. Should Var'to sell the products as is or process further and then sell them. Revenue if processed further Revenue ifsold as is Incremental revenue Incremental net income(Loss) The company should: :lStep by Step Solution
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