Explanation:
There are two alternatives
1. Sold for $6,300
The inventory parts should be sold for $6,300 as the current inventory parts are not relevant as it is a sunk cost i.e $18,500
2. Repair and after that sale it
Now in this case, we have to determine the benefit generated i.e come from
= Sale value - repairing cost
= $19,700 - $9,100
= $10,600
As we can see that the alternative 2 generated higher benefit as compare to the alternative 1 so it would be more beneficial for the company
C is correct answer ......
Answer:
Depreciation Expense, Credit, Accumulated Depreciation.
The statement in above describes the choice letter B, which can be considered as the correct answer. It is considered to be not clear and not measurable because the statement does not provide the exact or clear information. It does not state in which or what way will the expanding of the product line be.
