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Cung IncHas Some Material That Originally Cost $68,400

Question 111

Multiple Choice

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) -$69,100
B) -$700
C) $29,400
D) -$39,000

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