StarZinc Company Produced 200 Defective Units Last Month at a Unit

Multiple Choice

StarZinc Company produced 200 defective units last month at a unit manufacturing cost of $50.The defective units were discovered before leaving the plant.StarZinc can sell them as is for $35 or can rework them at a cost of $25 and sell them at the regular price of $100.The total relevant cost of reworking the defective units is:

A) $8,500.
B) $7,800.
C) $2,000.
D) $3,600.
E) $5,000.