8. Tawstir Corporation has 500 obsolete personal computers that are carried in inventory at a...
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8. Tawstir Corporation has 500 obsolete personal computers that are carried in inventory at a total cost of $720,000. If these computers are upgraded at a total cost of $140,000, they can be sold for a total of $200,000. As an alternative, the computers can be sold in their present condition for $50,000.
What is the net advantage or disadvantage to the company from upgrading the computers rather than selling them in their present condition?
$10,000 advantage
$60,000 advantage
$700,000 disadvantage
$150,000 advantage
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