Namov Company Has Old Inventory on Hand That Cost $12,000

Multiple Choice

Namov Company has old inventory on hand that cost $12,000.Its scrap value is $16,000.The inventory could be sold for $38,000 if manufactured further at an additional cost of $12,000.What should Narst do?

A) Sell the inventory for $16,000 scrap value.
B) Dispose of the inventory to avoid any further decline in value.
C) Hold the inventory at its $12,000 cost.
D) Manufacture further and sell it for $38,000.