Multiple Choice $2,500. $2,000. $1,500. $3,000. $1,850. A company produced 10,000 units of product that...
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Multiple Choice $2,500. $2,000. $1,500. $3,000. $1,850. A company produced 10,000 units of product that were slightly defective. The cost of making this product was $20 per unit. These units cannot be sold at the regular sales price of $30. The company has two alternatives: 1) the units can be sold to a wholesaler for $18 each or 2 ) they can be reworked at a cost of $125,000 and then sold for the regular selling price. Should the company sell the units as is or rework and sell them? Multiple Choice Sell as scrap - rework income \$120,000; scrap income \$180,000. Rework - rework income $225,000; scrap income $180,000. Sell as scrap - rework income $175,000; scrap income $180,000. Rework - rework income $300,000; scrap income $180,000. Sell as scrap - rework income $75,000; scrap income $180,000
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