Warner Company Has Some Material That Originally Cost $41,500

question 43

Short Answer

Warner Company has some material that originally cost $41,500. The material has a scrap value of $21,600 as is, but if reworked at a cost of $4,600, it could be sold for $29,100. What would be the incremental effect on the company's overall profit if it is reworked? a. $17,000 decrease.
B) $38,600 decrease.
C) $2,900 increase.
D) $24,500 increase.

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