QS 23-10 Sell or process further LO A1 Holmes Company produces a product that can...
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QS 23-10 Sell or process further LO A1 Holmes Company produces a product that can be either sold as is or processed further. Holmes has already spent $94,000 to produce 1,650 units that can be sold now for $95,500 to another manufacturer. Alternatively, Holmes can process the units further at an incremental cost of $295 per unit. If Holmes processes further, the units can be sold for $485 each. Compute the incremental income if Holmes processes further. Sell as is Process . Further Incremental Amount S 95,500 Additional processing costs Income (loss) $ 95,500 The company should Process further
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