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Pasha Company Produced 50 Defective Units Last Month at a Unit

Question 83

Multiple Choice

Pasha Company produced 50 defective units last month at a unit manufacturing cost of $30.The defective units were discovered before leaving the plant.Pasha can sell them "as is" for $20 or can rework them at a cost of $15 and sell them at the regular price of $50.Which of the following is not relevant to the sell-or-rework decision?


A) $15 for rework
B) $20 selling price of defective units
C) $30 manufacturing cost
D) $50 regular selling price
E) All of these are relevant.

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