The Tolar Corporation Has 400 Obsolete Desk Calculators That Are

question 128

Multiple Choice

The Tolar Corporation has 400 obsolete desk calculators that are carried in inventory at a total cost of $26,800. If these calculators are upgraded at a total cost of $10,000, they can be sold for a total of $30,000. As an alternative, the calculators can be sold in their present condition for $11,200.
-What is the financial advantage (disadvantage) to the company from upgrading the calculators?

• A) $8,800
• B) ($18,000)
• C) $20,000
• D) ($8,000)

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