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Varto Company has 12,200 units of its sole product in inventory that it produced last year at a cost of $23 each. This year's model
Varto Company has 12,200 units of its sole product in inventory that it produced last year at a cost of $23 each. This year's model is superior to last year's, and the 12,200 units cannot be sold at last year's regular selling price ot$50 each. Varto has two alternatives for these items: {1] they can be sold to a wholesaler for $11 each or {2} they can be processed further at a cost of $251,100 and then sold for $31 each. Should Vano sell the products as is or process further and then sell them? Revenue if processed further Revenue if sold as is Incremental reve n u e Incremental net in co m e(Loss} The company should
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