Varto Company has 13,600 units of its product in Inventory that It produced last year at a cost of $156,000. This year's model is better than last year's, and the 13,600 unlts cannot be sold at last year's normal selling price of $42 each. Varto has two alternatives for these units: (1) They can be sold as is to a wholesaler for $136,000 or (2) they can be processed further at an additional cost of $251,500 and then sold for $380,800. (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? A company must decide between scrapping or reworking unlts that do not pass Inspection. The company has 16,000 defectlve unlts that have already cost $132,000 to manufacture. The units can be sold as scrap for $54,400 or reworked for $76,800 and then sold for $147,200. (a) Prepare a scrap or rework analysis of Income effects. (b) Should the company sell the units as scrap or rework them? Gelb Company currently makes a key part for its maln product. Making this part Incurs per unlt varlable costs of $1.90 for direct materlals and $1.45 for direct labor. Incremental overhead to make this part is $1.68 per unlt. The company can buy the part for $5.32 per unit. (a) Prepare a make or buy analysis of costs for this part. (Enter your answers rounded to 2 decimal places.) (b) Should Gelb make or buy the part