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What would be the incremental effect on the profit

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Reference no: EM132910018

Question - Cung Inc. has some material that originally cost $68,400. The material has a scrap value of $30,100 as is, but if reworked at a cost of $1,400, it could be sold for $30,800. What would be the incremental effect on the company's overall profit of reworking and selling the material rather than selling it as is as scrap?

a) -$700

b) $29,400

c) -$69,000

d) -$39,000

Reference no: EM132910018

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