Ch. 23 Homework ?GQS 25-1 2 Decisior, To AcXhlb C | ? ezto.miheducation.com/hm.t

Question

Ch. 23 Homework ?GQS 25-1 2 Decisior, To AcXhlb C | ? ezto.miheducation.com/hm.tpx KQuestion 3 (of 11) 0.90 points QS 23-9 Scrap or rework LO A1 Signal mistakenly produced 1,200 defective cell phones. The phones cost 563 each to produce A salvage company will buy the defective phones as they are for $31 each. It would cost Signal $88 per phone to rework the phones If the phones are reworked Signal could sell them for $142 each Assume there is no ceportiniy eost associated with reworking the phones Compute the incremental net income from the phones Scrap Rework Sales Rework casts Total eBook & Resources Type here to search

Explanation / Answer

Dear Student Thank you for using Chegg Please find below the answer Statementshowing Computations Paticulars Scrap Rework Sales Scrap = 1200 * 31 Rework = 1200 *142           37,200.00        170,400.00 Rework costs 1200 * 88        105,600.00 total           37,200.00           64,800.00 Reworking is better as income would be more in selling after rework

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