The Tolar Company Has 400 Obsolete Desk Calculators That Are

question 28

Multiple Choice

The Tolar Company 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 net advantage or disadvantage to the company from upgrading the calculators?

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

---

Definitions:

Mood Contagion

The phenomenon where one person's mood or emotional state triggers a similar mood or state in another person.

Corresponding Mood

A mood or emotional state that matches or is in harmony with a particular situation, environment, or context.

Happy Voice

An auditory signal characterized by a tone, pitch, and modulation that conveys feelings of happiness and positivity.

Normative Social Influence

The force exerted by peers that motivates us to alter our conduct to achieve their liking and acceptance.