Varto Company has $13,800$ units of Its product in Inventory that It produced last year at a cost of $$154,000.$ This year's model is better

than last year's, and the $13,800$ units cannot be sold at last year's normal selling price of $$49$ each. Varto has two alternatives for these

units: $(1)$ They can be sold as is to a wholesaler for $$179,400$ or $(2)$ they can be processed further at an additional cost of $$241,100$ and

then sold for $$414,000.$

$($a$)$ Prepare a sell as is or process further analysis of Income effects.

$($b$)$ Should Varto sell the products as is or process further and then sell them?